REGULATORY GUIDE

Stay fully compliant with Dubai's short-term rental regulations. Everything you need to know about permits, taxes, and legal requirements.
Last updated:
September 3, 2025
United Arab Emirates
Dubai Region
Dubai
REGULATORY GUIDE

Stay fully compliant with Dubai's short-term rental regulations. Everything you need to know about permits, taxes, and legal requirements.
Last updated:
September 3, 2025
United Arab Emirates
Dubai Region
Dubai

TL;DR

Rules

How to comply

Rules, Taxes & Penalties

Upcoming Changes

FAQs

Federal Tax Authority: Real Estate VAT Guide (VATGRE1)

Regulated as Holiday Homes under emirate rules (permit/registration required). No single national nights threshold—follow local DTCM/municipal regulations.

Short-term lets are legal in Dubai as “Holiday Homes,” but you must register and get a unit permit from the Department of Economy & Tourism (DET) before advertising. Units must be let as a whole (no room-only). Display your permit number in listings, meet classification and safety standards, and collect/remit the Tourism Dirham. VAT at 5% applies if you’re VAT-registered. No citywide night cap.

Legality
Holiday Homes are allowed with a DET permit; whole-unit letting only. Advertising must include the permit number.
Night Cap
None.
STR Register
Register as a Holiday Home operator with DET and obtain a permit for each unit before listing. Display the permit number in all ads; maintain records; comply with classification (Standard/Deluxe) and safety rules.
Risk
Operating without a DET permit or renting anything less than the whole unit can trigger immediate fines and possible suspension/revocation.

Key Rules at a Glance

Overview of requirements, authorities, and costs for short-term rental compliance
Requirement
What you need
Authority / Link
Cost / Time

Registration / Permit

Register as a Holiday Home operator with DET and obtain a permit for each unit before listing. Display the permit number in all ads; maintain records; comply with classification (Standard/Deluxe) and safety rules.

Max Nights

None.

Planning / Zoning

Online application via DET; issuance is typically quick once documents are verified (DET may require inspections/verification).

Fee
AED
370
Online process; allow a few working days from complete submission. Tourism Dirham must be collected from guests and remitted monthly (by the 15th of the following month).

Safety & Insurance

Install and maintain smoke detection and fire-safety equipment per the UAE Fire & Life Safety Code; keep safety records; provide emergency information; comply with Dubai Civil Defence requirements.

Tax

VAT 5% applies if registered (UAE). Tourism Dirham for holiday homes per occupied bedroom/night: AED 10 (Standard) or AED 15 (Deluxe). Operators report and remit to DET; VAT registration threshold AED 375,000.

Step-by-Step: How to comply

Overview of requirements, authorities, and costs for short-term rental compliance
1

No municipal planning consent—obtain DET Holiday Home operator registration and a unit permit; comply with classification and safety standards and display the permit number in all listings. Online application via DET; issuance is typically quick once documents are verified (DET may require inspections/verification).

2

Apply if required. Planning application (fee ~AED370). Typical unit-permit cost: AED 300 per bedroom + AED 50 classification + AED 10 knowledge + AED 10 innovation (example: 1-bed = AED 370). Fees are per unit and renewed annually.

3

VAT 5% applies if registered (UAE). Tourism Dirham for holiday homes per occupied bedroom/night: AED 10 (Standard) or AED 15 (Deluxe). Operators report and remit to DET; VAT registration threshold AED 375,000.

4

Install and maintain smoke detection and fire-safety equipment per the UAE Fire & Life Safety Code; keep safety records; provide emergency information; comply with Dubai Civil Defence requirements.

Your Short-Term Rental Compliance Guide

Overview of requirements, authorities, and costs for short-term rental compliance

Enjoy hassle-free hosting with Houst

  • Tourism Dirham (holiday homes): AED 10 per room/night (Standard) or AED 15 (Deluxe); collected from guests and reported to DET (typically up to the first 30 consecutive nights).
  • VAT: standard rate 5% in the UAE; VAT registration mandatory at AED 375,000 taxable turnover (voluntary at AED 187,500).
  • Keep separate: DET holiday-home licensing/permits and municipal fees are separate from VAT.
  • Dubai DET: Holiday homes (operator info & Tourism Dirham)

    Edge Cases & Exemptions

  • HOA/building management or master-community rules can prohibit Holiday Homes even with a DET permit.
  • Permit number must be displayed at the unit and in all ads; keep guest/booking records and valid insurance.
  • Occupancy/classification and bedroom count affect fees and requirements.
  • Tourism Dirham must be collected per occupied bedroom per night (rate depends on Standard/Deluxe) and remitted to DET.
  • Penalties & Enforcement

  • Unlicensed operation: fine AED 5,000.
  • Operating while suspended: fine AED 20,000.
  • Leasing part of a unit (room/bed): fine AED 500.
  • Failing to display license information/notice board: fine AED 300.
    DET may also warn, suspend (up to 6 months) or revoke licenses.
  • Up to AED 20,000 (e.g., operating while suspended); AED 5,000 for unlicensed operation; AED 500 for leasing part of a unit (room/bed); AED 300 for not displaying license information.

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    Federal Tax Authority: Real Estate VAT Guide (VATGRE1)

    Regulated as Holiday Homes under emirate rules (permit/registration required). No single national nights threshold—follow local DTCM/municipal regulations.

    Do I need planning permission in Dubai?
    Is there a night cap or 90-day limit in Dubai?
    Do I need to register or get a permit?
    What taxes do I need to pay for short-term lets?
    What safety requirements do short-term lets need to meet in Dubai?

    Tools & Resources

    Planning Guidance
    Dubai Department of Economy & Tourism (DET) — Holiday Homes
    Fire Safety Guidance
    Dubai Civil Defence: Fire & Life Safety
    Tourist/Local Tax Guidance
    Dubai DET: Holiday homes (operator info & Tourism Dirham)
    National Safety Guidance
    Dubai Civil Defence: UAE Fire & Life Safety Code of Practice
    National Tax Guidance
    Federal Tax Authority: Real Estate VAT Guide (VATGRE1)
    Regional Safety Guidance

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    This guide is informational and not legal advice. Always confirm with

    Dubai Department of Economy & Tourism (DET) — Holiday Homes

    your local authority.