Live updates: Follow the latest on Israel-Gaza
Israeli Prime Minister Benjamin Netanyahu on Tuesday said the military would “finish the job” of destroying Hamas in the southern Gaza city of Rafah while allowing civilians to leave, as US leaders warn against such a move.
“We will finish the job in Rafah while enabling the civilian population to get out of harm’s way,” Mr Netanyahu told lobby group the American Israel Public Affairs Committee by video link.
He said the Israeli military has “taken measures to minimise civilian casualties that no other army has taken in history”, although he did not say how.
US President Joe Biden has warned Israel not to attack the southern Gaza city of Rafah without a clear plan to protect civilians, calling it a “red line” for continued support by Washington.
More than a million Palestinians have been forcibly displaced from other northern parts of the Gaza Strip to Rafah, which borders Egypt.
The White House on Monday said Israel has not presented a “credible and implementable” plan for a Rafah operation.
Mr Netanyahu claims that the southern city is one of the last spots for forces to defeat Hamas, the group behind the deadly attack on Israeli soil in October last year, which Israel says resulted in the killings of about least 1,200 people.
Israel has conducted retaliatory actions in the months since, with damage forcing Palestinians out of their homes, and at least 31,100 people killed, according to the Gaza health authorities.
“For Israel, every civilian death is a tragedy," Mr Netanyahu said. "For Hamas, every civilian death is a strategy.
"So it is wrong and immoral to hold Israel to a standard for avoiding civilian casualties that no other country on Earth is held to.
“My friends, I want to assure you, none of these pressures will stop us.”
Some Senate Democrats are calling for the President to follow through on his “red line” comment.
If Israeli action takes place in Rafah, US officials told Politico that Mr Biden would consider limiting military aid.
Axios quoted US officials as saying the Biden administration is considering restrictions on US military aid to Israel or amending American support for ceasefire resolutions at the UN if the “red line” is crossed.
Senator Chris Van Hollen told Politico that Congressional action to halt military aid is “certainly something that’s on the table”.
The specs
Engine: 2-litre 4-cylinder and 3.6-litre 6-cylinder
Power: 220 and 280 horsepower
Torque: 350 and 360Nm
Transmission: eight-speed automatic
Price: from Dh136,521 VAT and Dh166,464 VAT
On sale: now
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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
Tamkeen's offering
- Option 1: 70% in year 1, 50% in year 2, 30% in year 3
- Option 2: 50% across three years
- Option 3: 30% across five years
Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
How to wear a kandura
Dos
- Wear the right fabric for the right season and occasion
- Always ask for the dress code if you don’t know
- Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work
- Wear 100 per cent cotton under the kandura as most fabrics are polyester
Don’ts
- Wear hamdania for work, always wear a ghutra and agal
- Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
Other workplace saving schemes
- The UAE government announced a retirement savings plan for private and free zone sector employees in 2023.
- Dubai’s savings retirement scheme for foreign employees working in the emirate’s government and public sector came into effect in 2022.
- National Bonds unveiled a Golden Pension Scheme in 2022 to help private-sector foreign employees with their financial planning.
- In April 2021, Hayah Insurance unveiled a workplace savings plan to help UAE employees save for their retirement.
- Lunate, an Abu Dhabi-based investment manager, has launched a fund that will allow UAE private companies to offer employees investment returns on end-of-service benefits.