Dubai introduces tourist tax on holiday makers

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The government of Dubai has announced the introduction of a tourist tax on all holidays in the country.

Tourist tax – also known as hospitality tax- is very common in many locations worldwide. Now the Middle Eastern Emirate of Dubai, one of the top luxury travel destinations, is planning to introduce it in a bid to raise founds for the upcoming Expo 2020 projects and generally drive the growth of tourism's industry in the country.

Dubai tourist tax, called Tourism Dirham, is being introduced next month. Accordingly, from 31 March 2014 all visitors coming to Dubai will be charged a small extra fee for their stay in hotels, apartments, holiday homes and guest houses.

The Tourist Dirham will vary according to the category and rating of the accommodation, ranging from Dh7 (£1.20) to Dh20 (£3.30) per room per night. Tour operators worldwide seem confident that the new hospitality tax will not have a great impact on tourism in Dubai, which is indeed set to continue to offer great deals to all holidaymakers.

Located on the south eastern coast of the Persian Gulf Dubai is one of the world’s fastest growing cities. Emerged as a cosmopolitan metropolis, Dubai has steadily grown to become a business and cultural hub of the Middle East region.

The Emirate of Dubai is one of the seven emirates in the region. The city itself has become famous worldwide for its daring, innovative large architectural and engineering projects, including iconic skyscrapers such as the world's tallest Burj Khalifa, and the famous palm tree shaped manmade Palm Islands. And last year, plans of Dubai's first underwater hotel were revealed to the public.

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The number of visitors has doubled from five million to 10 million in the past eight years, with the Dubai government now hoping to double again by 2020, to 20 million visitors.

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