Dubai Cancels 30% Tax on Alcohol, Likely To Be More Attractive to Tourists, Expats

Dubai has gotten rid of a 30% tax on alcohol and canceled the fee charged to obtain a personal license to purchase alcohol, according to reports. The changes, which took effect for the new year, are scheduled to remain in place during a one-year trial period, Reuters reported citing local media. The move appears to have been undertaken to make Dubai more attractive to tourists and residents from other countries. Non-Muslim residents of Dubai must have an alcohol license issued by police and be 21 years old in order to drink alcohol or keep it in their homes. Alcohol distributors in Dubai – Maritime and Mercantile International (MMI), and African & Eastern – told media outlets that they would lower their prices to reflect the tax cut. Dubai residents, mostly expats, usually drive to another emirate to buy alcohol. Tourism is an important contributor to Dubai’s economy. The number of tourist visits grew more than 180% in the first half of 2022 over the same time in 2021.