| Item | Holiday home | Annual lease |
|---|---|---|
| Gross income | AED 127,750 (AED 500 a night, 70% occupancy) | AED 85,000 rent |
| Management fee | AED 25,550 (20% of revenue) | AED 5,100 (6% of rent) |
| Cleaning and linen | AED 8,760 (about 73 stays at AED 120) | Not applicable |
| Utilities and internet | AED 9,000 | Paid by tenant |
| Service charge | AED 12,000 | AED 12,000 |
| Net income before furnishing and tax | AED 72,440 | AED 67,900 |
| Requirement | Details |
|---|---|
| Holiday home permit | Required for every short-term rental. Must be kept current. |
| Tourism Dirham | A per-night, per-bedroom fee collected from guests and paid to the authority, usually by the 15th of the following month. Commonly cited at AED 10 per bedroom per night for standard properties. |
| Guest registration | Guest details must be submitted to the authorities soon after check-in. |
| VAT | Registration is required once taxable turnover passes AED 375,000 in 12 months. Voluntary registration is possible from AED 187,500. 5% VAT then applies to bookings. |