Egyptian protestors rally in support of an Egyptian lawyer sentenced to five years in prison on charges rights advocates have decried as politically motivated. AP
Egyptian protestors rally in support of an Egyptian lawyer sentenced to five years in prison on charges rights advocates have decried as politically motivated. AP
Egyptian protestors rally in support of an Egyptian lawyer sentenced to five years in prison on charges rights advocates have decried as politically motivated. AP
Egyptian protestors rally in support of an Egyptian lawyer sentenced to five years in prison on charges rights advocates have decried as politically motivated. AP

US Congress urges Biden to withhold Egypt aid over human rights


Ellie Sennett
  • English
  • Arabic

Democrat officials have sent a letter to US Secretary of State Antony Blinken urging the Biden administration to withhold $300 million in military aid to Egypt until it fully meets human rights requirements outlined in the annual appropriations bill.

The US provides about $1.3 billion in military aid to Egypt annually, with a portion reliant on it meeting certain human rights conditions.

"We remain concerned by continued reports — both by the State Department as well as credible international and Egyptian organisations — about the ongoing, pervasive, and systemic violations of human rights in Egypt that risk destabilising the country,” the letter said.

The letter, signed by seven Democrats spearheaded by House Foreign Affairs Committee Chair Gregory Meeks, conceded Cairo remains an important regional ally, but urged the administration's to enforce human rights standards.

"Egypt’s important role extends to more recent years in the fight against Al Qaeda, ISIS and their affiliates, as well as facilitator and mediator with the Israeli government and Palestinian groups in achieving an end to recent fighting in Gaza," it said.

Egyptian President Abdel Fattah El Sisi played a key role in securing the May 21 ceasefire that brought the latest round of violence between Israel and Hamas in the Gaza Strip to an end.

Additionally, Egypt has been involved in brokering agreements with Jordan and Iraq aimed at broadening and deepening cooperation.

"The Egyptian government released some political prisoners and launched certain initiatives aimed at improving the human rights situation inside the country," the Congressional letter said. "It has failed to take 'sustained and effective steps' required by statute."

In its 2021 Country Report on Human Rights, President Biden's administration listed a slew of "significant human rights issues", including "credible reports" of unlawful or arbitrary killings, forced disappearance by state security, torture and arbitrary detentions.

US President Joe Biden, right. and Egyptian President Abdel Fattah al-Sisi meet in Jeddah, Saudi Arabia on July 16, 2022. AFP
US President Joe Biden, right. and Egyptian President Abdel Fattah al-Sisi meet in Jeddah, Saudi Arabia on July 16, 2022. AFP

But the White House has faced increasing pressure from Congressional leaders and rights groups who have said it has not taken a strong enough stance against those human rights concerns.

In the Senate on Tuesday, Senator Chris Murphy called attention to the issue of political prisoners. He highlighted his constituent, Muhammad Amasha, a PhD student at Yale University, whose father is one of 60,000 political prisoners in Egypt.

“If you're going to be an ally of the United States, you shouldn't be locking people up for political speech," Mr Murphy said.

Twenty human rights organisations signed a letter to Blinken and Assistant to the President for National Security Affairs Jake Sullivan in August which also argued Cairo has failed "to meet the congressionally mandated human rights conditions".

In January the US government held back $130m in military financing until the Egyptian government dropped charges against 16 citizens charged in politically motivated cases.

The Egyptian embassy in Washington did not immediately respond to requests for comment.

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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. 

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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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The flights

Emirates flies from Dubai to Phnom Penh via Yangon from Dh2,700 return including taxes. Cambodia Bayon Airlines and Cambodia Angkor Air offer return flights from Phnom Penh to Siem Reap from Dh250 return including taxes. The flight takes about 45 minutes.

The hotels

Rooms at the Raffles Le Royal in Phnom Penh cost from $225 (Dh826) per night including taxes. Rooms at the Grand Hotel d'Angkor cost from $261 (Dh960) per night including taxes.

The tours

A cyclo architecture tour of Phnom Penh costs from $20 (Dh75) per person for about three hours, with Khmer Architecture Tours. Tailor-made tours of all of Cambodia, or sites like Angkor alone, can be arranged by About Asia Travel. Emirates Holidays also offers packages. 

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Updated: September 14, 2022, 4:39 PM