South Korea's declaration of martial law on Tuesday night, and then abrupt reversal a few hours later, came as a shock to the vast majority of the country's population. Martial Law Commander Army General Park Ann-soo had been forthright. The move came, he said in a statement, "to protect liberal democracy and ensure public safety in the Republic of Korea against the threat posed by anti-state forces conspiring to overthrow the nation's system".
The country’s Parliament disagreed, with lawmakers voting unanimously to lift martial law in the early hours of Wednesday.
Outside observers may have been surprised by the upheaval; to them, the country may seem to have been a relatively stable democracy since 1988 and the establishment of the Sixth Republic. But its politics have been extraordinarily fractious and, some might claim, vindictive. Since then, five ex-presidents have been subject to criminal investigations; four were sentenced to jail and one died by suicide. The current leadership faces an opposition-controlled National Assembly, which, it says, has "paralysed the administration", impeaching members of its cabinet and blocking legislation. President Yoon Suk-yeol now faces calls to resign, and possible impeachment himself.
Regional leaders will be careful in their responses. South Korea is an important trading partner, and while many do not wish to take sides in any US-China rivalry they do not, in private, object to the country's alliance with America. They may not say so publicly, but if managed carefully, they see that alliance as being able to contribute to balance in the Asia-Pacific. And beyond expressions of "concern", they will not wish to involve themselves in the internal politics of a nearby friend. The principle of "non-interference" is a key pillar of regional organisations such as the Association of South-East Asian Nations (Asean).
Politics have been extraordinarily fractious and, some might claim, vindictive
More widely, however, and especially in foreign policy and security circles, the sentiment will go beyond "concern" about the – albeit brief – establishment of martial law. For the region has extensive experience of variants of this policy, and it has rarely proved to be beneficial in the long run. When Gen Ne Win seized power in Myanmar in 1962, for instance, it may well have been the case that the country was in danger of disintegration. But the "Burmese Way to Socialism" that he pursued until he stepped down in 1988 reduced a state once known as the "rice basket of South-East Asia" to what the UN called a "least developed country". The February 2021 military coup, after a decade of hybrid democracy, has led to a prolonged civil war, a humanitarian crisis and more than three million people displaced.
Similarly, when then president Sukarno declared martial law in Indonesia in 1957, it was partly in reaction to the grave instability in the country at the time. But it also served to further empower the armed forces that effectively forced him from power in 1966 and then ran the country under the New Order regime until 1998. In the Philippines, when then president Ferdinand Marcos instituted martial law in 1972, it was the turning point after which a formerly popular politician moved to what he called an ideology of "constitutional authoritarianism". Others would use stronger words to describe his subsequent rule.
In Cambodia, then prime minister Lon Nol introduced martial law in 1970, but was so brutal in suppressing a rebellion that had broken out, that he “inadvertently” drove “many peasants into supporting the Communist Party of Kampuchea, also known as the Khmer Rouge”, as a US Department of Defence study put it. The Khmer Rouge would later drive him from power in 1975 and led a genocidal regime that led to the deaths of nearly 25 per cent of the population, until Vietnam invaded and toppled the administration in 1979.
Thailand has a history of military coups d’etat, with the most recent imposition of martial law being from 2014 to 2015. Again, the reason given may have been "to preserve law and order", but most analysts believe that military rule can only ever freeze the country’s deep political divisions, not resolve them.
South Korea has its own experiences of martial law as well, but it had not, until Tuesday, been declared for 44 years. The country has in fact been held up as a model of the democratic system, even hosting the third Summit for Democracy in May this year. Not everyone would put it on quite such a pedestal, but a Chatham House report in 2022 nevertheless concluded that “the challenges of contemporary South Korean politics are neither intractable nor a sign of irreconcilable differences”.
However, whatever troubles the country and its current leadership may be facing, and whatever uncharted waters may lie ahead, there appear to be few, either in South Korea or the wider region, who believe that martial law is a realistic solution. South-East and East Asia have undergone lengthy periods of such rule. Most believe it belongs, and deserves to belong, in the history books.
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
A timeline of the Historical Dictionary of the Arabic Language
- 2018: Formal work begins
- November 2021: First 17 volumes launched
- November 2022: Additional 19 volumes released
- October 2023: Another 31 volumes released
- November 2024: All 127 volumes completed
The specs
Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
Price: From Dh330,000 (estimate)
Tax authority targets shisha levy evasion
The Federal Tax Authority will track shisha imports with electronic markers to protect customers and ensure levies have been paid.
Khalid Ali Al Bustani, director of the tax authority, on Sunday said the move is to "prevent tax evasion and support the authority’s tax collection efforts".
The scheme’s first phase, which came into effect on 1st January, 2019, covers all types of imported and domestically produced and distributed cigarettes. As of May 1, importing any type of cigarettes without the digital marks will be prohibited.
He said the latest phase will see imported and locally produced shisha tobacco tracked by the final quarter of this year.
"The FTA also maintains ongoing communication with concerned companies, to help them adapt their systems to meet our requirements and coordinate between all parties involved," he said.
As with cigarettes, shisha was hit with a 100 per cent tax in October 2017, though manufacturers and cafes absorbed some of the costs to prevent prices doubling.
MATCH INFO
Uefa Champions League semi-final, second leg result:
Ajax 2-3 Tottenham
Tottenham advance on away goals rule after tie ends 3-3 on aggregate
Final: June 1, Madrid
COMPANY PROFILE
Name: N2 Technology
Founded: 2018
Based: Dubai, UAE
Sector: Startups
Size: 14
Funding: $1.7m from HNIs
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%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3EWilliam%20Friedkin%3Cbr%3E%3Cstrong%3EStars%3A%20%3C%2Fstrong%3EKiefer%20Sutherland%2C%20Jason%20Clarke%2C%20Jake%20Lacy%3Cbr%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E3%2F5%3C%2Fp%3E%0A
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
ANATOMY%20OF%20A%20FALL
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John Cena pinned Triple H in a singles match
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Bludgeon Brothers retain the SmackDown Tag Team titles against the Usos
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Like a Fading Shadow
Antonio Muñoz Molina
Translated from the Spanish by Camilo A. Ramirez
Tuskar Rock Press (pp. 310)
Netherlands v UAE, Twenty20 International series
Saturday, August 3 - First T20i, Amstelveen
Monday, August 5 – Second T20i, Amstelveen
Tuesday, August 6 – Third T20i, Voorburg
Thursday, August 8 – Fourth T20i, Vooryburg
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ANDROID%20VERSION%20NAMES%2C%20IN%20ORDER
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APPLE IPAD MINI (A17 PRO)
Display: 21cm Liquid Retina Display, 2266 x 1488, 326ppi, 500 nits
Chip: Apple A17 Pro, 6-core CPU, 5-core GPU, 16-core Neural Engine
Storage: 128/256/512GB
Main camera: 12MP wide, f/1.8, digital zoom up to 5x, Smart HDR 4
Front camera: 12MP ultra-wide, f/2.4, Smart HDR 4, full-HD @ 25/30/60fps
Biometrics: Touch ID, Face ID
Colours: Blue, purple, space grey, starlight
In the box: iPad mini, USB-C cable, 20W USB-C power adapter
Price: From Dh2,099