Day: May 26, 2023

ABU DHABI, 26th May, 2023 (WAM) — The Ministry of Finance has issued Ministerial Decision No. 120 of 2023 on Transitional Rules for Corporate Tax, providing guidelines for adjusting a Taxable Person’s opening balance sheet under the Corporate Tax Law. Younis Haji Al Khouri, Undersecretary of the Ministry of Finance, said, “Transitional rules for Corporate Tax provide important clarifications for businesses that need to transition smoothly from the pre-implementation period of the Corporate Tax Law to the post-implementation period. The aim is to ease the process of determining the opening balance sheet, ensuring a fair and transparent approach for assets and liabilities held prior to the implementation of the new Corporate Tax regime.” The decision applies to certain assets and liabilities, such as immovable property, intangible assets, financial assets, and financial liabilities, held by businesses before the Corporate Tax Law comes into effect. Businesses can adjust their tax treatment of such assets and liabilities based on specific rules and must decide how to do that when they submit their first Tax Return. Their choice would be permanent except in special circumstances. The decision also considers the ownership history of assets and liabilities, including those owned by the company or other members of the same business group. There is further flexibility for the real estate sector where companies with immovable property recorded on a historical cost basis have an option to select the basis of the relief, using either a time apportionment method or valuation method, thereby allowing groups to determine the most favourable outcome for them on immovable property on an asset-by-asset basis. For example, consider a UAE company that owns a real property asset, such as a building or land, before the effective date of the Corporate Tax Law. Upon selling the property after the enactment of the law, the company can choose one of two methods for adjusting their Taxable Income; they can either exclude a portion of the gain based on the property’s holding period, or they can use a fixed formula based on the property’s value (as determined by the relevant government entities in charge of valuation of land and real-estate property in the UAE) at the start of the first Tax Period. This ensures a fair tax calculation that considers the property’s ownership or value history and only taxes that business’ gains on such immovable property that are attributed to periods after the Corporate Tax Law is effective. Another possible scenario for financial assets and liabilities would be a local business that holds shares in another company recorded on a historical cost basis before the enactment of the Corporate Tax Law. When this local business sells these shares after the law comes into effect, it can adjust its Taxable Income by excluding a portion of the gain based on the shares’ value at the start of the first Tax Period. This transitional rule ensures only gains of that business on such shares that are attributed to periods after the Corporate Tax Law is effective are taxed.

Source: Emirates News Agency (WAM)

His Majesty King Abdullah on Thursday bestowed Royal medals on a number of distinguished Jordanian institutions and individuals, in appreciation of their services for the country and its people. According to a royal court statement, the ceremony, held at Raghadan Palace to mark Jordan’s 77th Independence Day, was attended by Her Majesty Queen Rania Al Abdullah and His Royal Highness Crown Prince Al Hussein bin Abdullah II, as well as a number of Royal family members and senior officials and officers. It celebrated the achievements of Jordanians in education, tourism, sports, charity, community service, literature, media, judicial reform, as well as interfaith dialogue and countering extremism.

Source: Jordan News Agency

The aggression forces committed 77violations of the ceasefire agreement in Hodeida province over the past 24 hours, an official at the operations room to monitor the violations said on Friday.

The official in the operations room told the Yemeni News Agency (Saba) that among the aggression forces violations were two airstrikes of spying warplane on Hays, and the creation of combat fortifications in al-Jabaliya.

He pointed out that the violations also included five spy planes flew over Hays and Maqbana, four violations of artillery shell, and 65 violations of various gunshots.

Source: Yemen News Agency

The Speaker of the House of Representatives, Brother Yahya Ali al-Ra’i sent a message of congratulations to his Lebanese counterpart, Nabih Barri, and through him to the members of the House of Representatives and the fraternal people of Lebanon and his valiant army and resistance on the occasion of the 23rd Day of Resistance and Liberation.

The telegram expressed Yemen’s pride in the sacrifices and courageous resistance of the Lebanese people, a parliament, a government, a leadership and a people, which set the most remarkable lessons and examples of sacrifice, resilience and resilience to liberation and the declaration of victory.

The Speaker of the Council of Representatives reaffirmed Yemen’s solidarity and siblings in Lebanon, Palestine and Syria and their legitimate right to restore the remaining occupied Arab territories, expressing the hope that the various Lebanese forces will converge in Lebanon’s interest and miss the opportunity for its enemies.

Source: Yemen News Agency

HRH Prince Mohammed bin Salman bin Abdulaziz, Crown Prince and Prime Minister, has sent a cable of congratulations to President of Georgia Salome Zourabichvili on the country’s Independence Day.

In the cable, HRH the Crown Prince extended congratulations and sincere wishes of good health and happiness for the President.

HRH the Crown Prince also wished the government and friendly people of Georgia further progress and prosperity.

Source: Saudi Press Agency