UAE weather: rain expected for most of the week

UAE residents can expect a wet week ahead with rain forecast for most of the country until Friday.

Wednesday and Thursday will experience the brunt of the heavy downpour, with the majority predicted in the afternoon.

Much colder temperatures are also forecast for the end of the week, dropping as low as 9°C in Dubai on Friday night.

On Monday, Abu Dhabi and Dubai can expect temperatures go as low as 14°C and 16°C respectively, and as cold as 10°C further north.

Highs will range between 22°C in Fujairah and 25°C in Dubai. Abu Dhabi will be slightly cooler at 23°C.

Tuesday will feel slightly warmer in Abu Dhabi, reaching highs of 24°C. The capital will also experience some showers.

According to Windy.com, Wednesday is when most of the rainfall will hit the Emirates, especially in the afternoon around 3pm and continue into the evening.

Authorities have warned motorists to be careful on the roads during bad weather, advising people to avoid valleys and other areas that may flood as a result of the heavy rain.

After some respite overnight, more heavy rain is predicted at the same time on Thursday when temperatures will drop, reaching highs of only 20°C in Abu Dhabi and 21°C in Dubai, with lows of 14°C and 13°C respectively.

Friday could experience some lingering light showers, but it will feel much chillier at night, with a low of 9°C forecast in Dubai.

Some rain could spill over into Saturday but Sunday is expected to be dry and clear.

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

COMPANY PROFILE

Name: Xpanceo

Started: 2018

Founders: Roman Axelrod, Valentyn Volkov

Based: Dubai, UAE

Industry: Smart contact lenses, augmented/virtual reality

Funding: $40 million

Investor: Opportunity Venture (Asia)

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