Latest News

CONNECT, NOW.
We understand the importance of availability, and we act on it.

New Resolution to Regulate Pay-by-the-Hour Car Rental Activity in Dubai

29/9/2016

An Executive Council Resolution No. (49) of 2016 now regulates the pay-by-the-hour car rental activity in Dubai.

An Executive Council Resolution No. (49) of 2016 now regulates the pay-by-the-hour car rental activity in Dubai. The Resolution aims to provide alternative low-cost public transportation solutions that meet the needs of people in Dubai.

As per the Resolution, individuals renting the car should hold a valid driving license recognized by Dubai’s Road and Transport Authority (RTA). The rented car should meet the specifications stipulated in the regulations outlined by the Resolution. The vehicle rental period should not exceed six hours a day within Dubai. Provision of pay-by-the-hour car rental services in Dubai without a license from RTA’s Licensing Agency is prohibited. The new Resolution also allows RTA to authorize any company or establishment to conduct car rental business in Dubai through a franchise model. Franchise contracts should clearly specify the rights and obligations of each party, the way in which the service is delivered, the franchise fee and the mode of payment. It should also meet all conditions set by RTA as per Dubai’s current laws.

Fees and penalties that will be imposed on anyone who violates its provisions are specified by the Resolution. It also clearly defines complaint procedures.

The Resolution will be published in the Official Gazette and will be effective 60 days after the date of its publication.

You might also like...
Emiratisation Penalty upto AED 72,000/- Will Take Effect from 1 Jan 2023
Starting from 1 January 2023, private sector companies with 50 employees or more that have not raised Emiratisation targets by 2% of skilled jobs in 2022, will be fined according to the Ministry of Human Resources and Emiratisation (MoHRE).
read More
FTA Sets Deadline 31 December 2022 to Apply for Re-determination of Administrative Penalties on Taxes
The UAE's Federal Tax Authority (FTA) urged eligible registered taxpayers to apply for the re-determination of administrative penalties on taxes prior to the 31 December 2023 deadline.
read More
Facilities for Small Projects Subject to Corporate Tax
The Ministry of Finance revealed its intention to offer facilities for small projects subject to corporate and business tax, noting that details of these facilities will be announced during the first half of next year.
read More
SEE ALL INSIGHTS
Thanks, got it!
Something went wrong, please try again.

Use our online calendar to set up your own appointment and connect to an elawyer for a consultation.