Abu Dhabi

  Brief In a recent judgment by the Joint Judicial Tribunal in March 2021, the Tribunal ordered that: “…the United Arab Emirates is a party to the New York Convention for the recognition of foreign arbitration decisions and their implementation by Decree No. 43 of 2006, which states to accept the procedure in any jurisdiction […]

  Case brief In May 2021, the UAE Federal Supreme Court ruled on the first tax evasion criminal case ordering payment of five times the amount of the evaded tax, amounting to almost 4.2 million Dirhams. At a hearing in October 2020, the Federal Primary Court ordered the taxpayer to pay five times the tax

  In a recent judgment, the Federal Supreme Court ruled that the time limits related to tax disputes do not necessarily commence when notification is issued – but rather require evidence of the receipt and fulfillment of knowledge of the taxpayer of that decision and its contents. The Supreme Court judgment sets a new test

  In April 2021, the Dubai Cassation Court refused to grant an arbitration award writ of enforcement for violation of public policy on the grounds that the reasoning and decision of the award were not signed by the arbitrator. Background In 2020, a net-winner of an international / foreign arbitration proceeding submitted the arbitral award

  Issue Companies often engage in, and operate projects, in the UAE through a joint venture or consortium structure. This is often the case in the construction industry. Generally, these joint ventures or consortiums are unincorporated – meaning that the parties making up the joint ventures do not incorporate a company but are rather organized

  The days of the COVID-19 pandemic are gradually becoming a thing of the past and it comes as a sign of glee for companies around the world; but if there is one positive that has been derived from the pandemic, it is the advancement of technology in the workplace to allow people to work/operate

  In a recent judgment, the Dubai Cassation Court clarified the procedure for challenging arbitration-related interim and precautionary orders issued by the competent court or the arbitral tribunal (or arbitrator). Case The contract between the plaintiff and the defendant is governed by an arbitration clause. The plaintiff is the beneficiary of a bank guarantee provided

  In late April 2021, the UAE Federal Supreme Court issued the first judgments on disputes arising out of tax private clarifications. The disputes had previously been adjudicated on by the Dubai tax dispute resolution committee, and by the Federal Primary Court and the Federal Appeals Court. The Federal Supreme Court rejected the previous judgments

  On 28 April 2021, the UAE Cabinet of Ministers issued Decision No. 49/2021 amending provisions of Cabinet Decision No. 40/2017 regulating tax penalties (the “new Decision”). Important highlights: – Late payment penalties reduced from 1% per day to 4% per month. – 300% cap still applies. – New starting date for calculating late payment

  Recently, in a dispute that Wasel & Wasel was counsel on, the Federal Primary Court ruled providing a definition and test for the ‘tax benefit’ penalty for the first time. What is the ‘tax benefit’ penalty? Of the various tax penalties that are applied by the Federal Tax Authority in the United Arab Emirates