FNC’s Ahmed Al Jarwan has an impact on a regional level


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ABU DHABI // As the speaker of the Arab Parliament, Ahmed Al Jarwan’s greatest achievements have been recorded on a regional level.

Since his appointment as speaker in 2012, Mr Al Jarwan has headed several Federal National Council delegations to the Arab Parliament.

Over the years he has been witness to democratic movements in the Arab world, most recently when acting as an observer at the latest referendum for Egypt’s constitution.

Among other official visits was a trip to the Zaatari refugee camp in Jordan.

Following the trip, he called on Arab countries and the international community to increase support to Syrian refugees and the countries providing them with shelter, pledging his full support for the Syrian people.

While Mr Al Jarwan is left with no choice but to miss some FNC meetings because of his role in the Arab Parliament, he tries not to.

Inside the FNC, he is a member of the Human Rights committee and has passed on a handful of questions to the Government.

Last year he summoned the Minister of Environment and Water and head of the Emirates Authority for Standardisation and Metrology (Esma), Dr Rashid bin Fahad, to ask him how locally produced and imported foods were monitored in the country.

As a previous member of the Education, Media and Youth committee, Mr Al Jarwan made trips to the three federal universities in the country to check on their research progress.

At that time, he emphasised the importance of research to tackle social problems, adding that Emiratisation was important in the field.

osalem@thenational.ae

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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.

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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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