Dubai scraps 30% alcohol tax and fees for personal alcohol licences

The UAE emirate of Dubai has announced that it has scrapped the 30% tax on alcohol, and will no longer charge for personal alcohol licences.

Known as the Gulf's "party capital", where expatriates outnumber nationals by nine to one, Dubai has historically been more attractive to tourists and wealthy foreign workers than its neighbours, partially because of its tolerance of a more liberal lifestyle.

Despite this, the high alcohol tax had led to residents often driving to Umm al-Quwain and other emirates to buy alcohol in bulk.

Scrapping the 30% tax is thought to be a move to make the city more attractive to foreigners, and is reflective of wider reforms and changes occurring across the whole Arabian peninsula. Dubai in particular has been relaxing alcohol laws for some time, both allowing the sale of alcohol in daylight during Ramadan in 2016, and approving home alcohol deliveries during the COVID-19 pandemic.

The two state-linked companies that distribute alcohol in Dubai, MMI and African & Eastern, have duly announced that they will reflect the 30% tax cut in their prices for consumers.

In a similar vein, the new year will also see Dubai stop charging for personal alcohol licences. Although bars and nightclubs rarely ask to see them, these plastic cards, which are issued by the police, are a legal requirement to drink, transport, and store alcohol, including in private residences. Those consuming alcohol without it can risk fines or arrest.

It is not yet clear if the changes will be permanent, with the Financial Times describing the move as a one-year trial.

The age limit on the purchase and consumption of alcohol in Dubai will remain unchanged at 21 years old.

source: commonspace.eu with agencies
photo: Financial Times

Related articles

Editor's choice
News
Borrell tells the European Parliament that the situation in Afghanistan was critical, but the EU will remain engaged

Borrell tells the European Parliament that the situation in Afghanistan was critical, but the EU will remain engaged

Borrell underlined that the European Union will make every effort to support the peace process and to remain a committed partner to the Afghan people. "Of course, we will have to take into account the evolving situation, but disengagement is not an option.  We are clear on that: there is no alternative to a negotiated political settlement, through inclusive peace talks.
Editor's choice
News
UN Security Council calls for an end to the siege of el-Fasher in Sudan's North Darfur province; Russia does not vote

UN Security Council calls for an end to the siege of el-Fasher in Sudan's North Darfur province; Russia does not vote

The UN Security Council, at the initiative of the United Kingdom, recently adopted a resolution on Thursday (13 June) calling for an immediate end to the siege of Al Fasher, the capital of Sudan's North Darfur state. The city, some 800 kilometres west of Khartoum, remains a key conflict zone as it is the last major western city not yet in the hands of the Rapid Support Forces (RSF). The RSF, a former elite unit made up of ethnic Arab militias and once part of the regime of dictator Omar Hassan al Bashir, is now led by General Mohamed Hamdan “Hemedti” Dagalo. Daglo, a military leader and wealthy businessman from Darfur, plays a central role in the current power struggle in Sudan. The violence has killed at least 14,000 people and displaced more than 10 million others, according to UN estimates.

Popular

Editor's choice
News
UN Security Council calls for an end to the siege of el-Fasher in Sudan's North Darfur province; Russia does not vote

UN Security Council calls for an end to the siege of el-Fasher in Sudan's North Darfur province; Russia does not vote

The UN Security Council, at the initiative of the United Kingdom, recently adopted a resolution on Thursday (13 June) calling for an immediate end to the siege of Al Fasher, the capital of Sudan's North Darfur state. The city, some 800 kilometres west of Khartoum, remains a key conflict zone as it is the last major western city not yet in the hands of the Rapid Support Forces (RSF). The RSF, a former elite unit made up of ethnic Arab militias and once part of the regime of dictator Omar Hassan al Bashir, is now led by General Mohamed Hamdan “Hemedti” Dagalo. Daglo, a military leader and wealthy businessman from Darfur, plays a central role in the current power struggle in Sudan. The violence has killed at least 14,000 people and displaced more than 10 million others, according to UN estimates.