Smoke over the site of an air strike on Sanaa, the Yemeni capital, on Saturday night. Reuters
Smoke over the site of an air strike on Sanaa, the Yemeni capital, on Saturday night. Reuters
Smoke over the site of an air strike on Sanaa, the Yemeni capital, on Saturday night. Reuters
Smoke over the site of an air strike on Sanaa, the Yemeni capital, on Saturday night. Reuters

Houthis fire missile towards Israel as US strikes Yemen


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The Houthi rebels launched a missile towards Israel early on Sunday that the Israeli military said it shot down, as the US launched more air strikes on Yemen.

Sirens sounded in parts of Israel around the Dead Sea as the missile approached. “The missile was intercepted before crossing into Israeli territory,” the Israeli military said.

Houthi military spokesman Brig Gen Yahya Saree claimed responsibility for the attack, saying the rebels' target was Israel's Nevatim airbase with what he said was a hypersonic missile.

It came as the US continued operations against the Houthis overnight into Sunday, part of an intense campaign that began on March 15. The Houthis said a series of strikes, including in the capital Sanaa, had injured at least eight people.

“Eight citizens, including two children, were wounded when the American enemy targeted a residential district” west of Al Rawda, said the Houthi-run Saba news agency, quoting the Health Ministry.

Yemenis in Sanaa raise placards during a rally in solidarity with Palestinians in Gaza. AFP
Yemenis in Sanaa raise placards during a rally in solidarity with Palestinians in Gaza. AFP

The Houthis also reported strikes in other parts of the country, including their stronghold Saada in the north.

They said the fuel port of Ras Isa in the western Hodeidah region – where at least 74 people were killed in strikes just over a week ago – had also been hit.

The Houthis, part of Iran's 'Axis of Resistance' against Israel and the US, have portrayed themselves as defenders of Gaza during the Israel-Hamas war. They have regularly launched missiles and drones at Israel and at cargo vessels plying the Red Sea trade route.

The US military has since January 2024 been attacking their positions, saying it is targeting the “Iran-backed Houthi terrorists” to stop their offensives.

Since US President Donald Trump took office, those attacks have intensified, with almost daily strikes for the past month.

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

Most sought after workplace benefits in the UAE
  • Flexible work arrangements
  • Pension support
  • Mental well-being assistance
  • Insurance coverage for optical, dental, alternative medicine, cancer screening
  • Financial well-being incentives 
Updated: April 29, 2025, 1:35 PM