Fiscal Policy & Tax Controversy

Federal execution proceedings regarding a tax judgment between a global logistics provider and the Federal Tax Authority staying the release of AED 17 million in seized funds pending the adjudication of a post-judgment ‘request for omission’ concerning cancelled penalties.

Tax objection proceedings before the Dubai Tax Dispute Resolution Committee for a major real estate group challenging AED 1.2 million in penalties for voluntary disclosures, asserting the absence of a ‘tax advantage’ where the taxpayer maintained a credit position.

Federal Court proceedings under UAE Tax Procedures Law between a Dubai healthcare free zone and the Federal Tax Authority regarding the retroactive application of late payment penalties to voluntary disclosures.

Judicial review proceedings for a UAE free zone entity contesting the imposition of additional penalties, arguing that voluntary disclosures create a new payment deadline distinct from the original tax return.

Judicial review proceedings contesting the assessment of ‘entertainment services’ VAT on hotel expenses for non-employee staff of a foreign parent company, arguing that branch and parent company employees constitute a single taxable person.

Litigation regarding the recovery of AED 4.4 million in excess refundable tax and associated damages, challenging the Authority?s refusal to process refunds or allow set-off pending the verification of third-party supplier payments.

Administrative litigation challenging the imposition of AED 2.5 million in penalties arising from a ‘forced’ voluntary disclosure for a non-existent entity where the tax liability was previously settled by the legal successor without loss to the Treasury.

Judicial review proceedings regarding the mitigation of percentage-based tax penalties from 40% to 5% where the delay in payment was attributed to the Authority?s approval processes and the tax was previously declared by the surviving entity.