;

© 2025, design with by 7awi Media Group

Dubai Brings Back 30% Alcohol Tax Starting in 2025

  • Publish date: Friday، 06 December 2024 Last update: Tuesday، 10 December 2024
Dubai Brings Back 30% Alcohol Tax Starting in 2025

Dubai’s 30% alcohol sales tax on hops, grape, and other house beverages is making a comeback. The tax will officially return on Wednesday, January 1, 2025, potentially impacting beverage prices across the city, according to Caterer Middle East.

Read More: 5 New Rules in the UAE to Watch Out for in 2025

The History of the Tax Suspension

The sales tax was originally suspended as a one-year measure starting January 1, 2023, and was expected to end on December 31, 2023. However, the suspension was extended throughout 2024, giving residents and visitors nearly two years of tax-free drink prices at many bars, restaurants, and hotels.

During this period, numerous venues across Dubai offered beverages at reduced prices, creating a more affordable nightlife scene for residents and tourists alike.

Dubai Brings Back 30% Alcohol Tax Starting in 2025

What to Expect in 2025

With the return of the 30% tax, venues such as bars, pubs, clubs, restaurants, and hotels may increase drink prices to accommodate the additional cost. While exact details of the implementation are yet to be disclosed, the decision has been confirmed by key drinks distribution companies like MMI and African+Eastern.

A representative from one distributor told Caterer Middle East:

"Please note, Dubai Government have informed us the 30 percent municipality tax on beverage purchases will be reinstated effective January 2025. This will be effective on all orders invoiced from Wednesday, January 1, 2025. Dubai Municipality requests all necessary systems are in place to ensure full compliance with this fee."

Read More: Abu Dhabi Recognized as One of the Best Cities for 2025

What This Means for You

With higher taxes likely translating to increased drink prices, it may be time to start scouting for the best happy hour deals, offers, and discounts in Dubai. Many venues are expected to adapt to the change by rolling out creative promotions to attract customers.

Stay tuned for updates as more details about the tax reinstatement emerge. Will this change your plans for nights out in 2025? Let us know your thoughts!

Follow us on our Whatsapp channel for latest news
 

Related videos

Related articles