DUBAI – In a bid to improve tourism in the emirate, authorities in Dubai has suspended tax on the sale of alcohol, besides withdrawing mandatory license fee to buy alcohol.
The development was confirmed by two major retailers in Dubai, stating the suspension of 30 percent tax came into effect on Sunday. The new rule will run for a one-year trial period, domestic media reported.
“With the removal of 30% municipality tax and a free alcohol licence, buying your favourite drinks is now easier and cheaper than ever,” MMI, one of the alcohol retailers announced on its Instagram account on Sunday.
Prices in its stores across the Dubai now reflect the removal of the tax, it added.
Another retailer, African+Eastern, also said the tax has been withdrawn, but prices would remain subject to a 5 percent value-added tax (VAT).
The Dubai Media Office has not officially confirmed the development.
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