Iraqi Prime Minister Mustafa Al Kadhimi on Tuesday visited Iran and said relations between the two nations would have to be based on non-interference.
“The two countries are facing economic challenges and our people are dependent on us, and this service will not take place without co-operation between Iraq and Iran,” Mr Al Kadhimi said.
“The people of Iraq want good relations with the Islamic Republic of Iran based on the principle of non-interference in the internal affairs of both countries.
“Iraq is a country that won’t allow any aggression or challenge to Iran from its territory.”
It was his first official trip abroad since taking office and he met Iranian President Hassan Rouhani and supreme leader Ayatollah Ali Khamenei.
The official website of the office of the Iranian presidency released a photo of Mr Rouhani and Mr Al Kadhimi at a welcome ceremony in Tehran.
Both men were wearing face masks to help prevent the spread of the coronavirus.
At home, Mr Al Kadhimi faces increasing pressure from Iran-aligned parties and paramilitary groups.
They depict him as siding with the US, because he has indicated he wants to curb the power of Tehran-backed militias and political groups.
In his first two months in office, Iraqi security forces carried out two raids against militias, but most of those arrested were later released.
The US praised the raids.
After his meeting with Mr Al Kadhimi, Mr Khamenei lauded the Iran-backed militias in Iraq, but said Tehran would not interfere in relations between Baghdad and the US, his official website said.
Mr Al Kadhimi postponed a visit to Saudi Arabia on Monday after King Salman was admitted to hospital for tests, but chose to continue the planned trip to Iran.
After their meeting, Mr Rouhani said the visit was “a turning point in relations between the two countries”.
“We remain ready to stand by the Iraqi nation and apply efforts for stability and security in Iraq and the region,” he said.
Mr Rouhani said Iran and Iraq hoped to increase trade between them to $20 billion (Dh73.45bn) a year.
The Iranian Foreign Minister, Javad Zarif, met Mr Al Kadhimi in Baghdad on Sunday.
On his arrival, Mr Zarif paid a visit to the site where Iranian general Qassem Suleimani was killed, saying “Iran-Iraq relations will not be shaken” despite the general’s death.
Suleimani led Iran’s Quds Force, the foreign operations arm of the Islamic Revolutionary Guard Corps, and was the architect of its regional military activities.
A team of Iraqi ministers travelled without Mr Al Kadhimi to Saudi Arabia, closing investment and education deals between the two nations and agreeing to assist one another in fighting the Covid-19 pandemic.
His advisers sought new avenues for economic co-operation and enhancing Iraq’s potential to be a regional mediator.
The US and Saudi Arabia accept Iraq playing the role of intermediary, said Hisham Daoud, Mr Al Kadhimi’s adviser.
“The Gulf and the Americans want Iraq to have its sovereignty and to them this means distance from Iran,” Mr Daoud said.
Iran, meanwhile, “wants Iraq to be a messenger, but this will not be acceptable to Iraq and to Al Kadhimi”, he said.
The Iraqi Foreign Minister, Fouad Hussein, emphasised Mr Al Kadhimi’s message of independent sovereignty.
Mr Hussein said he and Mr Zarif “stressed that we want balanced relations with all neighbouring countries, based on Iraqi interests, mutual interests and non-interference in internal affairs”.
THE%20SPECS
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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%20PROFILE
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FA Cup semi-finals
Saturday: Manchester United v Tottenham Hotspur, 8.15pm (UAE)
Sunday: Chelsea v Southampton, 6pm (UAE)
Matches on Bein Sports
Company%20Profile
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Killing of Qassem Suleimani
Killing of Qassem Suleimani
The specs: 2018 Opel Mokka X
Price, as tested: Dh84,000
Engine: 1.4L, four-cylinder turbo
Transmission: Six-speed auto
Power: 142hp at 4,900rpm
Torque: 200Nm at 1,850rpm
Fuel economy, combined: 6.5L / 100km
COMPANY%20PROFILE
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Profile of Tamatem
Date started: March 2013
Founder: Hussam Hammo
Based: Amman, Jordan
Employees: 55
Funding: $6m
Funders: Wamda Capital, Modern Electronics (part of Al Falaisah Group) and North Base Media
The biog
Title: General Practitioner with a speciality in cardiology
Previous jobs: Worked in well-known hospitals Jaslok and Breach Candy in Mumbai, India
Education: Medical degree from the Government Medical College in Nagpur
How it all began: opened his first clinic in Ajman in 1993
Family: a 90-year-old mother, wife and two daughters
Remembers a time when medicines from India were purchased per kilo
Best Academy: Ajax and Benfica
Best Agent: Jorge Mendes
Best Club : Liverpool
Best Coach: Jurgen Klopp (Liverpool)
Best Goalkeeper: Alisson Becker
Best Men’s Player: Cristiano Ronaldo
Best Partnership of the Year Award by SportBusiness: Manchester City and SAP
Best Referee: Stephanie Frappart
Best Revelation Player: Joao Felix (Atletico Madrid and Portugal)
Best Sporting Director: Andrea Berta (Atletico Madrid)
Best Women's Player: Lucy Bronze
Best Young Arab Player: Achraf Hakimi
Kooora – Best Arab Club: Al Hilal (Saudi Arabia)
Kooora – Best Arab Player: Abderrazak Hamdallah (Al-Nassr FC, Saudi Arabia)
Player Career Award: Miralem Pjanic and Ryan Giggs
Dubai Bling season three
Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed
Rating: 1/5