Dubai Hotels to Benefit From 30% Reduced Municipality Fees. Dubai Municipality is leaving no stone unturned in its way to enhance competitiveness and encourage investment in the hotel and tourism sector in the city and this time they have taken a step to lower down the Municipality fees so that fine dining, hotel stays, and all other hotel services are cheaper there from next month.
Gulf News has confirmed that the Dubai Municipality is all set to implement the government’s decision to cut 30 % of municipality fee applicable in hotels and certain other hospitality firms from first of July.
Crown Prince of Dubai and Chairman of the Dubai Executive Council, Shaikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, on Monday announced the decrease in municipal fee from 10 % to 7%. He told media that the step is taken to enhance competitiveness and encourage investment in the hotel and tourism sector in Dubai.
It is confirmed by Dubai Municipality’s General Revenue Department that the fee is applicable for the services that are offered in around 900 establishments including hotels, hotel apartments and restaurants with permits to even sell alcohol.
Officials also did rebut reports that claimed the rule will impact all restaurant and hotel establishments in the city as an official states,
“This municipality fee is applicable only on all the operations and services in hotels, hotel apartments and restaurants that are allowed to sell alcohol,”.
According to the officials, violation in applying the instructions to reduce the fee will attract fines as inspectors will visit the premises of these establishments to ensure that they have correctly implemented the new billing system issued by Dubai Municipality.
Officials also clarified that the reduction of fee is applicable to everything in hotels including room facilities, food and beverages, spa, gym, and swimming pool etc.
All the guests including tourists and residents will be able to enjoy this reduction of fees.
The move will definitely attract more guests and will boost business in the tourism and hospitality sectors.
Hotel Establishment Revenue Section of the municipality issued last week a circular to all the establishments paying municipality fee to implement the new fee from first of July.
They require to change the percentage of municipality bill from 10% to 7% alongside configuring their billing system accordingly.