The General Rules for Determining Taxable Income in the UAE simplify the calculation process by considering realized and unrealized gains or losses from Financial Statements. Businesses can choose to recognize gains and losses on a realization basis for certain assets and liabilities if they use the Accrual Basis of Accounting. This choice is irrevocable, except for exceptional circumstances approved by…
Now onshore healthcare legislation applies also to ADGM entities On 11th January 2023, the ADGM published the news (on its official website) about the new ADGM Healthcare Regulations 2022. These Healthcare Regulations adopt the Abu Dhabi onshore healthcare legislation, including the regulations and circulars that the DoH (Department of Health) issued into ADGM’s legislative framework. Key Points of the Healthcare…
Multinational companies with subsidiaries in low-tax or zero-tax jurisdictions must consider the economic substance they have in these jurisdictions. ESR Legislation in Low-tax Jurisdictions The authorities have fined companies for failing substance rules in jurisdictions with low or zero corporation tax. Many jurisdictions had to implement ESR rules to comply with the requirements of the OECD Forum on Harmful Tax…
What is Emiratization? The UAE authorities have started an initiative called Emiratization. As per this initiative, it is mandatory for employers in the public and private sectors to recruit UAE nationals. The main objective of Emiratization is to increase local contribution to UAE’s economy through the active hiring of UAE nationals. Although the public sector in the UAE has made…
On 11th November 2022, the Abu Dhabi Global Market (ADGM) Arbitration Centre launched the world’s first – mediation in the metaverse service. This service aims to transform the delivery of mediation worldwide. International and local parties can benefit from these mediation services and get a virtual space for mediation. Using innovative Web3 technology, this service allows parties to access 3D…
The FTA (Federal Tax Authority) has made unprecedented announcements in the past few weeks. Most recently, the FTA announced its decision to launch the EmaraTax platform on 5th December 2022. The migration process will start on 30th November 2022, and the EmaraTax platform will be fully operational by 5th December 2022. The migration to the EmaraTax platform will coincide with…
The Crown Prince and Deputy Ruler of Sharjah, Sheikh Sultan bin Muhammad bin Sultan Al Qasimi held an SEC (Sharjah Executive Council) meeting on 1st November 2022. As a result of this meeting, the SEC issued a path-breaking ruling. According to this judgment, an individual/entity from any country or nationality can own and use real estate in Sharjah. This court…
The UAE authorities recently introduced new reforms concerning bounced cheques through the Federal Decree Law no 14 of 2020. The revised law improved the Federal Decree-Law No. 18 of 1993 in connection with business transactions (Commercial Transactions Law) and the UAE’s legal code. Earlier Position and New Amendments The UAE government has made notable changes to the punishment related to…
Money laundering is a heinous crime. It hurts organizations in many ways. Acts of money laundering and tax evasion smear the company’s finances and reputation. Criminals launder millions of ‘dirty’ money every year. Money launderers are constantly devising new methods to circumvent the law. You will be shocked to learn that money laundering activities cost the world 2% to 5%…
In contrast to the earlier years, the UAE has been experiencing a lull phase on the regulatory front. There are two main reasons for it. We must keep an eye on the ongoing developments related to the insurance dispute resolution committees. With time, the committees will produce an increasing number of cases that will give us valuable insights into their…