More rain worsens floods in Australia


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BRISBANE // Almost a foot (300 millimetres) of rain in just a few hours renewed flood fears in Australia's already waterlogged Queensland state on Saturday, sending a surging river over its banks and into another large town.

Officials said about only 20 buildings in Maryborough, where about 22,000 people live, were expected to be flooded after the river burst its banks in the overnight downpour. The waters were expected to peak on Sunday.

"A number of businesses ... will have floodwaters in their basements," Mayor Mick Kruger said.

But the new flooding was a reminder that the state has almost no capacity to absorb more heavy rains after weeks of drenching tropical weather submerged an area the size of Germany and France combined.

Ten people have died since late November and about 200,000 have been affected by the floods. Roads and rail lines have been cut, Queensland's big-exporting coal industry has virtually shut down, and cattle ranching and farming across a large part of the state are at a standstill.

While new rain is causing problems in some parts of the state, officials say a massive relief operation has moved from emergency operations to recovery, as the city of Rockhampton and other towns wait for waters to drop, and dozens of others begin the mopping up of sludge.

Prime Minister Julia Gillard flew Saturday to several towns cut off by floodwaters or partially underwater, and sought to reassure residents their towns would be restored in an operation led by an army general who said it might take years to fix all the damaged roads, rail lines and bridges.

"Until we see these floodwaters recede, we won't see the true extent of the damage," Gillard told reporters in the town of St. George.

Queensland Premier has said the price of rebuilding homes, businesses and infrastructure, coupled with economic losses, could be as high as $5 billion.

Floodwaters draining east toward the ocean were still rising in some places, such as St. George, where about 2,500 residents are bracing for the second major floods in less than a year.

St. George, one of a few towns where floodwaters were still rising, received a reprieve Saturday when forecasters said the waters would peak about 60 centimetres lower than previously thought, and threaten only about 10 homes.

"It gives us a flood peak that puts our mind at rest," Mayor Donna Stewart said.

Australia's worst flooding in some 50 years was caused by tropical rains that fell for days, starting just before Christmas. Some 1,200 homes were inundated and almost 11,000 more have water damage. Nearly 4,000 people were evacuated, and many are still staying with friends or in relief shelters.

Packages which the US Secret Service said contained possible explosive devices were sent to:

  • Former first lady Hillary Clinton
  • Former US president Barack Obama
  • Philanthropist and businessman George Soros
  • Former CIA director John Brennan at CNN's New York bureau
  • Former Attorney General Eric Holder (delivered to former DNC chair Debbie Wasserman Schultz)
  • California Congresswoman Maxine Waters (two devices)
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Key findings of Jenkins report
  • Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
  • Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
  • Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
  • Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
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

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