VatCalculatorOnline

When is a fee not a tax?

Currently living in a hotel until I decide what I want to do regarding accommodation. The fee's and taxes now are out of control to the point where the price can be 25-30% higher than what is advertised.

An example today:

  • VAT AED 351.45
  • Property service charge AED 639
  • Destination fee AED 15.00 × 28 nights AED 420
  • Municipality fee AED 255.60
  • Tourism fee AED 383.40

That is FIVE levels of tax on a hotel booking room. No wonder they need events here to rely on rooms being full.

Dubai | 👁 1371 | Posted April 18, 2018 | Share on Facebook | Twitter | Google+

| Modified: April 18, 2018 | Author:

16 Comments

Delta4 2 years ago

That is where the breakdown comes from

burksterdxb 2 years ago

FYI, Booking.com does actually mention these charges before you reach the final step in the booking process.

burksterdxb 2 years ago

Yea, this is what I was thinking too. It's always VAT(5%), Service Charge(10%), Municipality fee (10%) and Tourism Fee.

PatrolInSand 2 years ago

A fee is a fixed about for a service provided and is not related to the amount you spend. A fee will then have tax added as well. A tax is % of the amount. A government 'fee' where no service is provided, is a duty, the like UK duty on Alcohol and Tobacco , which is then taxed as well. Yes, there's many fees in Dubai, many of which are not informed when you book. No matter which way you turn, there's always someone behind you ready with some Vaseline ;)

Delta4 2 years ago

I believe this is another name for the fee you pay upon check in. The 15dhs a day one?

zadtheguru 2 years ago

Are you sure about destination fee is charged in Dubai?? I work in a hotel and the charges are Service Charge, Municipal fee, Tourism Fee and VAT. Just check out if the property isn't ripping you off with the destination fee, there is no such thing from the government.

Delta4 2 years ago

Me too. Now I would only look at it during Ramadan - but even then the discounts are not there anymore

Delta4 2 years ago

Have you checked the Air BnB prices? They are more expensive then hotels. I kid you not

bladewidth 2 years ago

Wouldnt AirBnB work out cheaper than this, at least 2-3 of these lines would be cut ?

Revert_Von_Needful 2 years ago

Then why it's not included in the price already? Why not advertise room at 1AED per night and then add 999AED for "accommodation usage charge" or something equally named? Whatever I pay after booking price I will call tax, no matter how hidden the name of the additional charge is.

sharjah111 2 years ago

Booking an expensive hotel & then complaining about the hotel room rates? You could go to a less expensive hotel! For 15 nights, some good hotels charge 5k AED or less.

zakmoriss 2 years ago

coming in march for 15 days.costs me 3000 chf , 14k aed, have to add 25% taxes.not even a beach front hotel.

mowilliams0 2 years ago

I remember I used to frequently stay in hotels while visiting abu dhabi on weekends. Not anymore.

truthhurtsman1 2 years ago

That works out roughly 30% add on fees. God Dayyyyym. It's like Maldives, where they advertise prices without their taxes or speedboat costs and then when you add it on it works out nearly 50% more expensive.

confydubai 2 years ago

i guess this is for 28 nights as he stated

pinkyponk 2 years ago

I hope this isn't per night, are you staying at the Burj Al Arab?


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