Oman on Thursday announced an indefinite ban on public and private gatherings amid a resurgence in daily Covid-19 cases.
The sultanate's supreme committee responsible for tackling the Covid-19 pandemic said the ban included educational institutions, weddings, conferences, seminars and exhibitions.
The committee blamed non-compliance with coronavirus precautionary measures, such as wearing face masks and observing social-distancing rules for "the marked increase" in the number of infections and hospital admissions.
Private businesses, the committee said, failed “to comply with the health procedures” put in place to curb the spread of the virus.
Although Oman has already closed its land and air borders until February 1, the committee advised people against travelling abroad on official or private trips.
Oman’s Health Ministry on Thursday reported 167 new Covid-19 cases and one death related to the virus.
The number of infections in the sultanate to date has reached 133,574 while 1,525 people have died.
The ministry said 93 coronavirus patients are receiving hospital treatment 26 of whom are in intensive care.
The Education Ministry partially reopened schools from January 3, while local universities planned to resume classes from February 15.
The new restrictive measures caught many by surprise, forcing them to make last-minute changes to their plans.
“We were planning a trade exhibition early next month but obviously now it will not take place," said Saada Al Saidi, 56, the proprietor of Muscat Fashion and Beauty Products. "The problem is postponing it will cost us money since we already made financial arrangements. The decision came out of the blue and totally unexpected.”
The prohibition on private functions disrupted schedules finalised weeks and months in advance, leaving many families in stress.
“My daughter’s wedding reception is on February 19 and now we are not sure whether the ban will cover up to that date or not,” said Sabah Al Jahadhami, 52. “It is a ban without an end and it is putting the family in a lot of stress. We don’t know whether to keep the booked reception date or cancel it to another date.”
Previous lockdowns and a curtailment of gatherings were effective in bringing down case numbers in Oman.
The sultanate has vaccinated thousands of people already but slowed down the introduction of the Pfizer-BioNTech because of global production issues.
Pfizer says it is modifying its Belgium factory, which has reached its production capacity, to increase its output in the coming weeks.
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
