Syrian Foreign Minister Faisal Mekdad. EPA
Syrian Foreign Minister Faisal Mekdad. EPA
Syrian Foreign Minister Faisal Mekdad. EPA
Syrian Foreign Minister Faisal Mekdad. EPA

Syria wants Arab League readmission taken off summit agenda


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Arab League members should not discuss Syria's readmission into the 22-nation organisation at the group's summit in November, the country's foreign minister has told his Algerian counterpart.

Syrian Foreign Minister Faisal Mekdad spoke to Ramtane Lamamra by phone ahead of the Arab League summit to be held in Algiers. Syria‘s Arab League membership was suspended after the start of its civil war in 2011.

“Syria’s top diplomat said his country prefers that the question of it reclaiming its Arab League seat during the Algiers summit not be tabled for the sake of Arab unity given the challenges posed by current regional and international conditions,” Mr Lamamra's office said.

The Algiers summit is due to start on November 1 and to last for two days. Relations between the government of Syrian President Bashar Assad and many other Arab nations have improved after years of tension over Damascus’s perceived heavy-handed tactics against its foes in the war.

Russia's Foreign Minister Sergey Lavrov, right, and Syrian Foreign Minister Faisal Mekdad at a news conference in Moscow on August 23. EPA
Russia's Foreign Minister Sergey Lavrov, right, and Syrian Foreign Minister Faisal Mekdad at a news conference in Moscow on August 23. EPA

Syria was suspended from the Arab League in November 2011, eight months after anti-government protests erupted. The decision to suspend its membership was meant to punish Mr Assad’s regime for failing to end the bloodshed caused by its brutal crackdown on pro-democracy protests.

Syria’s civil war has killed hundreds of thousands of people, displaced half the country’s population and left large swathes of the country destroyed.

However, there have been calls from several Arab nations, including regional heavyweight Egypt, for Syria to be readmitted into the Arab League as the government has regained control over most of the country, thanks to military assistance from allies Russia, Iran and Lebanon's Hezbollah.

“Syria’s return to the Arab League as a stable and active state will be vital for maintaining Arab national security,” Egyptian Foreign Minister Sameh Shoukry said last year.

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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

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By committing to at least one of these daily, you can bring more gratitude into your life, says Ong.

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Updated: September 05, 2022, 4:47 PM