Medics at the scene of an air strike in Mekelle, capital of the Tigray region of northern Ethiopia, on Wednesday. AP
Medics at the scene of an air strike in Mekelle, capital of the Tigray region of northern Ethiopia, on Wednesday. AP
Medics at the scene of an air strike in Mekelle, capital of the Tigray region of northern Ethiopia, on Wednesday. AP
Medics at the scene of an air strike in Mekelle, capital of the Tigray region of northern Ethiopia, on Wednesday. AP

US 'increasingly concerned' by fighting in Ethiopia's Tigray region


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The US has expressed growing “concern” over fighting in northern Ethiopia and urged both sides to return to peace.

State Department spokesman Ned Price said Washington was calling on the Ethiopian government and Tigrayan forces to “halt immediately their military offensives and to pursue a negotiated settlement” through African Union diplomacy.

On Wednesday, 10 people were killed in a second day of air strikes on the country's Tigray region when twin drone attacks hit a residential district in the regional capital of Mekelle.

The attack came shortly after rebels said they were willing to observe an immediate ceasefire and participate in a peace process led by the AU after about two years of war.

Mike Hammer, the US special envoy to the Horn of Africa, has been speaking to the Ethiopian government, the Tigray People's Liberation Front (TPLF) and UN and AU diplomats on the ground for two weeks.

“We are increasingly concerned by the growing military activity in northern Ethiopia. We strongly condemn the resumption of hostilities,” said Mr Price on Thursday.

US State Department spokesman Ned Price speaks during a news conference in Washington. Reuters
US State Department spokesman Ned Price speaks during a news conference in Washington. Reuters

“These actions are inconsistent with the government of Ethiopia and Tigrayan regional authorities' stated willingness [for peace talks],” he said.

The Ethiopian government said on Wednesday that it was “committed” to the AU-led peace process.

However, the two sides have blamed each other for the resumption of fighting in late August, which shattered a five-month truce that had allowed the delivery of aid.

An untold number of civilians have died, with the US alleging “ethnic cleansing,” since war broke out in late 2020 between the central government and the TPLF, which ruled Ethiopia for decades until Prime Minister Abiy Ahmed took office in 2018.

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  • A fuel tax protest by French drivers appealed to wider anti-government sentiment
  • Unlike previous French demonstrations there was no trade union or organised movement involved 
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  • Named after the high visibility jackets that drivers must keep in cars 
  • Clashes soon turned violent as thousands fought with police at cordons
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What is 'Soft Power'?

Soft power was first mentioned in 1990 by former US Defence Secretary Joseph Nye. 
He believed that there were alternative ways of cultivating support from other countries, instead of achieving goals using military strength. 
Soft power is, at its root, the ability to convince other states to do what you want without force. 
This is traditionally achieved by proving that you share morals and values.

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Ferran Torres 65'

 

 

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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

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  • Do not submit your application through the Easy Apply button on LinkedIn. Employers receive between 600 and 800 replies for each job advert on the platform. If you are the right fit for a job, connect to a relevant person in the company on LinkedIn and send them a direct message.
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Updated: September 16, 2022, 5:15 AM