Maros Sefcovic, vice president of European Commission, was in London this week after four weeks of negotiations failed to bridge gaps over Northern Ireland trade. AP
Maros Sefcovic, vice president of European Commission, was in London this week after four weeks of negotiations failed to bridge gaps over Northern Ireland trade. AP
Maros Sefcovic, vice president of European Commission, was in London this week after four weeks of negotiations failed to bridge gaps over Northern Ireland trade. AP
Maros Sefcovic, vice president of European Commission, was in London this week after four weeks of negotiations failed to bridge gaps over Northern Ireland trade. AP

EU welcomes 'change in tone' from UK during latest Brexit talks


Neil Murphy
  • English
  • Arabic

Britain and the EU will intensify efforts next week to break their impasse over post-Brexit trade arrangements for Northern Ireland, as Brussels cautiously welcomed a change in tone from London.

After meeting with David Frost, Britain's Brexit minister, in London, EU negotiator Maros Sefcovic said the two sides would now seek to make headway on issues such as customs checks and the movement of medicines into Northern Ireland.

Relations between Brussels and London have deteriorated in recent weeks after Britain, unhappy with the deal it signed on to in 2020, threatened to trigger an emergency clause known as Article 16, potentially leading to a trade war.

Mr Sefcovic said he hoped the two sides could build momentum by dealing with specific issues rather than addressing more fundamental concerns that London wants to address, such as its desire to remove Europe's top court from any regulatory role.

Brussels also wants London to reciprocate in the talks with its own concessions after it offered to cut some of the checks needed on goods moving from Britain to Northern Ireland.

Mr Frost said “significant gaps” remained and Brussels must address the issues that London has raised. But he confirmed that intensified talks would take place in Brussels next week and that new energy and impetus were needed.

“I acknowledge and welcome the change in tone of discussion with David Frost today and I hope this will lead to tangible results for the people in Northern Ireland,” Mr Sefcovic told a news conference in London after the talks.

Since leaving the EU last year, Britain has delayed the introduction of some border checks that were designed to avoid the need for a hard frontier between the British province and EU member Ireland.

London says the checks are disproportionate and threaten Northern Ireland's 1998 peace deal. The EU says tight controls are needed to protect its single market of 450 million people.

The EU has cautioned Britain that triggering Article 16 — part of a deal UK Prime Minister Boris Johnson signed in 2020 — would sour ties with the EU and destabilise Northern Ireland.

Ireland has said the free trade deal that was underpinned by the Northern Ireland agreement could also be set aside, which could result in a trade war.

One area of particular concern regards regulatory oversight in Northern Ireland, with London demanding that any governing role for the European Court of Justice be removed from the UK-EU divorce settlement.

However, Mr Sefcovic said this remained a red line for Brussels, and added that the court was the “guardian of the single market rules”, rules that still apply in Northern Ireland.

“Without the European Court of Justice jurisdiction, there is no access to the single market,” he said.

ONCE UPON A TIME IN GAZA

Starring: Nader Abd Alhay, Majd Eid, Ramzi Maqdisi

Directors: Tarzan and Arab Nasser

Rating: 4.5/5

Sam Smith

Where: du Arena, Abu Dhabi

When: Saturday November 24

Rating: 4/5

Museum of the Future in numbers
  •  78 metres is the height of the museum
  •  30,000 square metres is its total area
  •  17,000 square metres is the length of the stainless steel facade
  •  14 kilometres is the length of LED lights used on the facade
  •  1,024 individual pieces make up the exterior 
  •  7 floors in all, with one for administrative offices
  •  2,400 diagonally intersecting steel members frame the torus shape
  •  100 species of trees and plants dot the gardens
  •  Dh145 is the price of a ticket
In numbers: China in Dubai

The number of Chinese people living in Dubai: An estimated 200,000

Number of Chinese people in International City: Almost 50,000

Daily visitors to Dragon Mart in 2018/19: 120,000

Daily visitors to Dragon Mart in 2010: 20,000

Percentage increase in visitors in eight years: 500 per cent

The specs: 2018 Jeep Compass

Price, base: Dh100,000 (estimate)

Engine: 2.4L four-cylinder

Transmission: Nine-speed automatic

Power: 184bhp at 6,400rpm

Torque: 237Nm at 3,900rpm

Fuel economy, combined: 9.4L / 100km

Desert Warrior

Starring: Anthony Mackie, Aiysha Hart, Ben Kingsley

Director: Rupert Wyatt

Rating: 3/5

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

How to donate

Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
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Star%20Wars%3A%20Ahsoka%20
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Various%20%3Cbr%3E%3Cstrong%3EStarring%3A%3C%2Fstrong%3E%20Rosario%20Dawson%2C%20Natasha%20Liu%20Bordizzo%2C%20Lars%20Mikkelsen%20%3Cbr%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%204%2F5%0D%3Cbr%3E%3C%2Fp%3E%0A

Newcastle United 0 Tottenham Hotspur 2
Tottenham (Alli 61'), Davies (70')
Red card Jonjo Shelvey (Newcastle)

Results

6.30pm: Maiden Dh165,000 (Dirt) 1,400m. Winner: Rio Angie, Pat Dobbs (jockey), Doug Watson (trainer).

7.05pm: Handicap Dh170,000 (D) 1,600m. Winner: Trenchard, Pat Dobbs, Doug Watson.

7.40pm: Maiden Dh165,000 (D) 1,600m. Winner: Mulfit, Pat Dobbs, Doug Watson.

8.15pm: Handicap Dh210,000 (D) 1,200m. Winner: Waady, Dane O’Neill, Doug Watson.

8.50pm: Handicap Dh210,000 (D) 2,000m. Winner: Tried And True, Pat Dobbs, Doug Watson.

9.25pm:Handicap Dh185,000 (D) 1,400m. Winner: Midnight Sands, Pat Dobbs, Doug Watson.

The specs: McLaren 600LT

Price, base: Dh914,000

Engine: 3.8-litre twin-turbo V8

Transmission: Seven-speed automatic

Power: 600hp @ 7,500rpm

Torque: 620Nm @ 5,500rpm

Fuel economy 12.2.L / 100km

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)

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

Updated: November 12, 2021, 11:03 PM