The US state of Missouri on Tuesday sued China’s leadership over the Covid-19 outbreak, seeking damages over what it described as deliberate deception and insufficient action to stop the pandemic.
The state lawsuit comes amid calls in Congress to punish China and a campaign by President Donald Trump to focus on Beijing’s role, amid criticism of his own handling of the crisis.
Missouri, led by Mr Trump’s Republican Party, filed a lawsuit in a federal court seeking an unspecified amount in damages and an injunction on continuing actions by China that are said to include hoarding protective equipment.
“The Chinese government lied to the world about the danger and contagious nature of Covid-19, silenced whistleblowers and did little to stop the spread of the disease,” Missouri Attorney General Eric Schmitt said.
“They must be held accountable for their actions,” he said.
The lawsuit’s chances of success are far from certain as US law, under the principle of sovereign immunity, generally forbids court action against foreign governments.
Missouri addressed the issue by suing the ruling Communist Party, arguing that it is not formally an organ of the Chinese state.
Citing an estimate that Missouri may lose tens of billions of dollars due to the virus and action to prevent it, the lawsuit accused the Chinese Communist Party of being in “knowing, wilful and in reckless disregard of the rights of the state and its residents”.
The lawsuit pointed to Chinese authorities’ early suppression of news of the virus when it broke out in Wuhan, including detentions of whistleblowers.
It also noted that China initially said there was no evidence of human-to-human transmission.
Despite Trump’s heavy criticism of China, his administration has been lukewarm about efforts to take action against Beijing, mindful that the Asian power is a major source of masks and other medical supplies desperately needed by the United States.
Under its conservative leadership, Missouri has imposed fewer Covid-19 restrictions than most US states, allowing businesses to remain open as long as they limit the number of people present and ensure space between them.
Missouri as of Tuesday had reported 189 Covid-19 deaths, half of them in St Louis.
Titan Sports Academy:
Programmes: Judo, wrestling, kick-boxing, muay thai, taekwondo and various summer camps
Location: Inside Abu Dhabi City Golf Club, Al Mushrif, Abu Dhabi, UAE
Telephone: 971 50 220 0326
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
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
THE SPECS
GMC Sierra Denali 1500
Engine: 6.2-litre V8
Transmission: 10-speed automatic
Power: 420hp
Torque: 623Nm
Price: Dh232,500
Four-day collections of TOH
Day Indian Rs (Dh)
Thursday 500.75 million (25.23m)
Friday 280.25m (14.12m)
Saturday 220.75m (11.21m)
Sunday 170.25m (8.58m)
Total 1.19bn (59.15m)
(Figures in millions, approximate)
What can victims do?
Always use only regulated platforms
Stop all transactions and communication on suspicion
Save all evidence (screenshots, chat logs, transaction IDs)
Report to local authorities
Warn others to prevent further harm
Courtesy: Crystal Intelligence
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THREE
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