Tensions between France and Israel have escalated, with French Foreign Minister Jean-Noel Barrot becoming involved in a social media spat with Israeli counterpart Gideon Saar.
Mr Barrot described as "grossly unfair" Mr Saar's claims that French President Emmanuel Macron disregarded long-standing Israeli grievances over Palestinian Authority programmes, including an initiative that gave allowances to families of Palestinians killed or detained by Israel.
The scheme ended on August 1 and an independent audit is set to verify that, Mr Barrot said. "We will hold the Palestinian Authority accountable of these commitments," he added.
Mr Saar dismissed the comments, claiming "the PA simply replaced the old system with a new one that continues transferring money to the same bank accounts of terrorists and terrorists’ families". He did not provide evidence to substantiate his accusation.
Relations between France and Israel have soured since Mr Macron announced his intention to recognise Palestinian statehood this month at the UN General Assembly. The UK, Canada and Australia are among a host of countries that have also pledged to recognise Palestine.
Mr Saar also accused the PA of failing to remove passages in textbooks that he said incites violence against Israel and Jews. "The only place it [incitement] does not exist is in the letters the PA sends to France (the same letters with the same commitments that [former Palestinian leader Yasser] Arafat was sending 30 years ago)," he said.
Israeli campaign
The review of textbooks is "underway," Mr Barrot said. "There is an alternative to this endless war, and it is our responsibility as a permanent member of the UNSC [UN Security Council], with citizen and security interests in the region, to propose it," he added.
The French minister also highlighted commitments obtained by France at a conference in New York in July, when 17 countries, including Qatar and Brazil, endorsed the disarmament of Hamas and the creation of a stabilisation mission for postwar Gaza.
Mr Saar did not directly address these commitments. Instead, he accused France of "prolonging the war" by acting out of hostility to Israel. "The rest is empty words and illusions," he said.
Israel has rejected a French-led effort to recognise Palestine as a pathway to regional peace. In response, Israeli authorities have approved a settlement that would end the possibility of a contiguous Palestinian state.
Israeli Prime Minister Benjamin Netanyahu has accused France of fuelling anti-Semitism, claims echoed by the US ambassador to Paris, Charles Kushner. Mr Macron described such as remarks as a "weaponisation" of the fight against anti-Semitism.
The US blocked visas from Palestinian diplomats scheduled to attend the UN General Assembly. That move was rebuked this week by Mr Macron, who said he had spoken to Saudi Crown Prince Mohammad bin Salman and that they both called for the US to reverse its decision.
US support for Israel has remained strong throughout the Gaza war, even as Israel calls up reservists ahead of a ground offensive on Gaza city. European and Arab countries have called repeatedly for a ceasefire.
Palestinian reforms
In a letter sent to France in June, Palestinian President Mahmoud Abbas pledged deep reforms of the PA. Mr Abbas called for the demilitarisation of Hamas and spoke of PA reforms, including "revoking the law on payments to families of prisoners and martyrs and implementing a new social security system without discrimination".
The move is unpopular among Palestinians, with one senior Palestinian security official telling The National that it is viewed as an insult. Mr Abbas also referred to incitement against Palestinians in Israeli society and called for "international supervision over incitement and hate speech in statements, curriculums and in official media on both sides".
This request was endorsed at the New York conference, which "welcomed the ongoing efforts to modernise the Palestinian curriculum and called upon Israel to undertake a similar effort".
Western Clubs Champions League:
- Friday, Sep 8 - Abu Dhabi Harlequins v Bahrain
- Friday, Sep 15 – Kandy v Abu Dhabi Harlequins
- Friday, Sep 22 – Kandy v Bahrain
Company Profile
Company name: NutriCal
Started: 2019
Founder: Soniya Ashar
Based: Dubai
Industry: Food Technology
Initial investment: Self-funded undisclosed amount
Future plan: Looking to raise fresh capital and expand in Saudi Arabia
Total Clients: Over 50
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The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
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- Price: Not announced yet
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The specs
Engine: 2.5-litre, turbocharged 5-cylinder
Transmission: seven-speed auto
Power: 400hp
Torque: 500Nm
Price: Dh300,000 (estimate)
On sale: 2022
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
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
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Specs
Engine: 3.0L twin-turbo V6
Gearbox: 10-speed automatic
Power: 405hp at 5,500rpm
Torque: 562Nm at 3,000rpm
Fuel economy, combined: 11.2L/100km
Price: From Dh292,845 (Reserve); from Dh320,145 (Presidential)
On sale: Now