U.A.E Announced Penalties for The New Corporate Tax Rules from First of August

 The UAE Ministry of Finance has announced penalties for violations of the new corporate tax rules.

The penalties are as follows:

·         Failure to file a tax return: A penalty of AED 5,000 for the first offense, AED 10,000 for the second offense, and AED 20,000 for the third and subsequent offenses.

·         Late filing of a tax return: A penalty of AED 100 per day for each day that the return is late, up to a maximum of AED 50,000.

·         Failure to pay tax: A penalty of 10% of the unpaid tax, plus interest at a rate of 12% per annum.

·         Falsification of documents: A penalty of AED 50,000, plus imprisonment for a term of up to five years.

The penalties will be effective from August 1, 2023. Businesses in the UAE should be aware of these penalties and take steps to ensure that they are compliant with the new corporate tax rules.

The UAE introduced a new corporate tax law in December 2022, which will be enforced on June 1, 2023. The law sets a corporate tax rate of 9% on taxable profits of more than AED 375,000 (approximately US$100,000).

Here are some of the key features of the new corporate tax law:

A flat tax rate of 9% on taxable profits of more than AED 375,000.

A zero-tax rate on taxable profits of up to AED 375,000.

A territorial tax system, meaning that only profits arising in the UAE will be taxed.

Several exemptions and deductions, including for research and development, intellectual property, and foreign dividends.

A withholding tax of 0% on certain types of UAE-sourced income paid to non-residents.

Here are some tips for businesses to avoid corporate tax penalties:

Make sure that you are aware of the new corporate tax rules and regulations.

File your tax returns on time and accurately.

Pay your taxes on time.

Keep good records of your business transactions.

Get professional advice from a tax advisor if you are unsure about anything.

By following these tips, businesses can help to avoid corporate tax penalties and stay compliant with the law.

 

The U.A.E Labor Law: Procedure to file a labour Case in the U.A.E

 Here are the steps on how to file a labour case in the UAE:

Check the eligibility criteria. Not all labour disputes can be filed in court. 

The eligibility criteria for filing a labour case in the UAE are as follows:

The employee must be a UAE national or a holder of a valid work permit.

The dispute must arise out of the employment relationship between the employee and the employer.

The dispute must be one that is covered by the Labour Law of the UAE.

The employee must have exhausted all internal remedies, such as mediation through the Ministry of Human Resources and Emiratisation (MOHRE).

The employee must file the case within one year of the date of the alleged violation.

The following are some of the matters that can be the subject of a labour lawsuit in the UAE:

1. Unfair termination of employment
2. Non-payment of wages
3. Overtime compensation
4. End-of-service benefits
5. Discrimination
6. Harassment
7. Health and safety violations

If you believe that you have a valid claim against your employer, you should consult with an experienced labour lawyer to discuss your options.

Here are some additional things to keep in mind about the eligibility criteria for filing a labour case in the UAE:

The Labour Law of the UAE is constantly being updated, so it is important to check with a lawyer to make sure that your claim is still eligible to be filed.

The eligibility criteria may vary depending on the specific emirate in which you are working.

If you are not a UAE national, you may have additional requirements that you need to meet in order to file a labour case.

The Labour Law of the United Arab Emirates (UAE) sets out a list of specific matters that can be the subject of a labour lawsuit.

Gather the required documents. The required documents will vary depending on the specific nature of the dispute. However, some common documents that may be required include:

A copy of your employment contract

Proof of your salary

Any other relevant documents that support your claim

File the complaint with the Ministry of Human Resources and Emiratisation (MOHRE). MOHRE is the government agency responsible for overseeing labour relations in the UAE. They will review your complaint and determine whether it is eligible to be filed in court.

If your complaint is accepted, MOHRE will attempt to mediate the dispute between you and your employer. If mediation is successful, the dispute will be resolved without the need for a court case.

If mediation is unsuccessful, you can file your case with the Labour Court. The Labour Court is the specialized court in the UAE that deals with labour disputes.

Here are some additional things to keep in mind when filing a labour case in the UAE:

You must file your case within one year of the date of the alleged violation.

The Labour Court will not hear your case if you have already filed a complaint with MOHRE and the mediation process has not been completed.

You will need to pay a court fee to file your case.

The Labour Court proceedings are conducted in Arabic.

Key regulations for settling individual labour disputes

Legislation for the settlement of individual labor disputes

The UAE’s laws guarantee the rights of both: the employer and the employee, especially in the event of a labour dispute between them. Both parties have the option of filing a labor complaint with Ministry of Human Resources and Emiratisation (MOHRE) through a few easy steps. The complaints will then be examined and settled amicably or referred to the judiciary, if an amicable settlement is not possible.

Laws regulating labour complaints in the UAE

The following laws provide for labour complaints in the UAE

Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations in the Private Sector

Cabinet Resolution No. 1 of 2022 on the Implementation of Federal Decree Law No. 33 of 2021 Regarding the Regulation of Labour Relations and

Ministerial Resolution No. 47 of 2022 on the Settlement of Labor Disputes and Complaints Procedures.

I hope this helps! Let me know if you have any other questions.

Different Types of Visas you can apply legally in the U.A.E

 The United Arab Emirates (UAE) offers a variety of visas to meet the needs of different individuals and groups. Here are some of the most common types of visas in the UAE:

Tourist visa: This visa allows you to stay in the UAE for up to 30 days. You can apply for a tourist visa online or at a UAE embassy or consulate in your home country.

Business visa: This visa allows you to enter the UAE for business purposes. You will need to provide a letter from your employer or sponsor, as well as proof of your financial arrangements.

Work visa: This visa allows you to work in the UAE. You will need to have a job offer from a UAE-based company, and your employer will need to sponsor your visa.

Student visa: This visa allows you to study in the UAE. You will need to have been accepted to a UAE university or school, and your sponsor will need to provide proof of your financial arrangements.

Retirement visa: This visa allows you to retire in the UAE. You will need to be at least 55 years old, and you will need to have a certain amount of financial assets.

Golden visa: This visa is a long-term residency visa that is granted to individuals who invest a certain amount of money in the UAE. The amount of investment required varies depending on the type of visa.

In addition to these common types of visas, the UAE also offers visas for specific purposes, such as medical treatment, domestic work, and religious pilgrimage.

The specific requirements for each type of visa vary, so it is important to check with the UAE government or your sponsor for more information.

Tourist Visa:

Eligibility: To be eligible for a tourist visa, you must:

• Be a citizen of a country that is eligible for a visa on arrival or a visa-free entry to the UAE.
• Have a valid passport that is at least six months old.
• Have a return or onward ticket.
• Have a valid health insurance policy that covers you for the duration of your stay in the UAE.

Application process: You can apply for a tourist visa online or at a UAE embassy or consulate in your home country. The application process typically takes a few days to complete.

Visa fees: The visa fees for tourist visas vary depending on the type of visa and your nationality.

Validity: The validity of a tourist visa depends on the type of visa you have. Single-entry visas are valid for 30 days, multiple-entry visas for 30 days or 90 days.

Extension: You can extend your tourist visa for a maximum of 90 days. To extend your visa, you must apply for an extension at a UAE immigration office.

Business Visa: Here are some details about the business visa in UAE:

 

Types of business visas: There are two types of business visas in the UAE:

Sponsored business visa: This visa is for individuals who are sponsored by a UAE-based company or organization.

Self-sponsored business visa: This visa is for individuals who are self-employed or who own their own business in the UAE.

Eligibility: To be eligible for a business visa, you must:

• Be a citizen of a country that is eligible for a visa on arrival or a visa-free entry to the UAE.
• Have a valid passport that is at least six months old.
• Have a letter of invitation from your sponsor or a company registration certificate if you are self-sponsored.
• Have a valid health insurance policy that covers you for the duration of your stay in the UAE.

Application process: You can apply for a business visa online or at a UAE embassy or consulate in your home country. The application process typically takes a few days to complete.

Visa fees: The visa fees for business visas vary depending on the type of visa and your nationality.

Validity: The validity of a business visa depends on the type of visa you have. Sponsored business visas are valid for 6 months, self-sponsored business visas are valid for 1 year.

Extension: You can extend your business visa for a maximum of 1 year. To extend your visa, you must apply for an extension at a UAE immigration office.

Here are some of the benefits of having a business visa in the UAE:

• Allows you to enter and exit the UAE multiple times during the validity of your visa.
• Allows you to stay in the UAE for up to 6 months (sponsored) or 1 year (self-sponsored).
• Allows you to work in the UAE if you are sponsored by a company.
• Allows you to sponsor your dependents to live and work in the UAE.

Work Visa: Eligibility: To be eligible for a work visa, you must:

Be a citizen of a country that is eligible to work in the UAE.

• Have a valid passport that is at least six months old.
• Have a job offer from a UAE-based company.
• Have a medical fitness certificate.
• Have a police clearance certificate.

Application process: The application process for a work visa in the UAE typically takes 4-6 weeks to complete. The process involves the following steps:

Your employer will submit an application for a work permit to the Ministry of Human Resources and Emiratisation (MoHRE).

Once the work permit is approved, your employer will submit an application for a visa on your behalf.

• You will need to provide the following documents to your employer:
• Your passport and visa application form.
• Your academic and professional qualifications.
• Your medical fitness certificate.
• Your police clearance certificate.

Your employer will submit your application to the UAE embassy or consulate in your home country.

Once your visa is approved, you will be able to enter the UAE and start working.

Visa fees: The visa fees for work visas vary depending on the type of visa and your nationality.

Validity: The validity of a work visa depends on the type of visa you have. Standard work visas are valid for 2-3 years, green visas are valid for 5 years.

Extension: You can extend your work visa for a maximum of 2 years. To extend your visa, you must apply for an extension at a UAE immigration office.

Here are some of the benefits of having a work visa in the UAE:

• Allows you to live and work in the UAE.
• Allows you to bring your dependents to live in the UAE.
• Allows you to travel to and from the UAE freely.
• Allows you to open a bank account in the UAE.
• Allows you to buy property in the UAE.

Student Visa:

Eligibility: To be eligible for a student visa in the UAE, you must:

• Be a citizen of a country that is eligible to study in the UAE.
• Have a valid passport that is at least six months old.
• Have been accepted to a UAE-accredited university or school.
• Have a medical fitness certificate.
• Have a police clearance certificate.
• Have proof of financial support.

Application process: The application process for a student visa in the UAE typically takes 4-6 weeks to complete. The process involves the following steps:

You will need to apply for admission to a UAE-accredited university or school.

Retirement Visa:

The UAE offers a retirement visa for individuals who are at least 55 years old and meet certain financial requirements. The visa is valid for 5 years and can be renewed for another 5 years.

To be eligible for a retirement visa in the UAE, you must:

• Be at least 55 years old.
• Have a valid passport that is at least six months old.
• Have a minimum of AED 1 million in financial assets.
• Have a medical fitness certificate.
• Have a police clearance certificate.

The application process for a retirement visa in the UAE typically takes 4-6 weeks to complete. The process involves the following steps:

You will need to apply for a retirement visa at a UAE embassy or consulate in your home country.

You will need to provide the following documents to the embassy or consulate:

Your passport and visa application form.

• Proof of your age.
• Proof of your financial assets.
• Medical fitness certificate.
• Police clearance certificate.

Once your application is approved, you will be issued a retirement visa.

The retirement visa in the UAE offers a number of benefits, including:

• The ability to live and work in the UAE.
• The ability to bring your dependents to live in the UAE.
• The ability to travel to and from the UAE freely.
• The ability to open a bank account in the UAE.
• The ability to purchase property in the UAE.

Golden Visa:

The visa is valid for 5 years and can be renewed for another 5 years.

There are different categories of Golden Visa, each with its own eligibility criteria and investment requirements.

Some of the categories of Golden Visa include:

•  Investors: Individuals who invest a minimum of AED 2 million in real estate or AED 10 million in government bonds.
• Entrepreneurs: Individuals who own and manage a business in the UAE that has been in operation for at least 2 years and generates annual revenues of at least AED 1 million.
• Scientists: Individuals who have made significant contributions to the field of science or technology.
• Outstanding students and graduates: Individuals who have achieved outstanding academic results or who have made significant contributions to the field of education.
• Humanitarian pioneers: Individuals who have made significant contributions to the field of humanitarian work.
• Frontline heroes: Individuals who have served in the UAE armed forces or police force.

The Golden Visa offers a number of benefits, including:

• The ability to live and work in the UAE.
• The ability to bring your dependents to live in the UAE.
• The ability to travel to and from the UAE freely.
• The ability to open a bank account in the UAE.
• The ability to purchase property in the UAE.

If you are interested in applying for a Golden Visa in the UAE, you should contact a UAE immigration lawyer or consultant for more information.

New India-U.A.E treaty is a testament to the growing economic and political importance of the relationship

 
The new treaty signed by India and the UAE on July 15, 2023 is significant for a number of reasons. First, it will allow India to settle trade in rupees instead of dollars, which could save the country billions of dollars in transaction costs. Second, the treaty will set up a real-time payment link between the two countries, which will make it easier and faster for people to send and receive money. Third, the treaty will foster greater economic cooperation between India and the UAE, which could lead to increased trade, investment, and job creation.

Here are some of the specific benefits of the new treaty:

Reduced transaction costs: By settling trade in rupees, India will no longer have to convert its currency into dollars, which can be a costly process. This could save the country billions of dollars each year.

Faster and easier cross-border payments: The real-time pay
ment link between India and the UAE will make it easier and faster for people to send and receive money. This will be especially beneficial for migrant workers who send money home to their families in India.

Increased economic cooperation: The new treaty is expected to foster greater economic cooperation between India and the UAE. This could lead to increased trade, investment, and job creation in both countries.

The new treaty is a significant step forward in the India-UAE relationship. It has the potential to boost trade and investment between the two countries, and it could also lead to increased economic cooperation in other areas. The treaty is a win-win for both countries, and it is a sign of the strong ties that exist between India and the UAE.

In addition to the economic benefits, the new treaty could also have political and strategic implications. The UAE is a key ally of the United States, and India is a rising power in the region. The new treaty could help to strengthen the relationship between India and the UAE, and it could also help to improve India's ties with the United States.

Overall, the new treaty between India and the UAE is a significant development with the potential to have a positive impact on both countries. It is a sign of the strong ties that exist between India and the UAE, and it is a testament to the growing economic and political importance of the relationship.

The U.A.E labour contract- how to negotiate with the Employer

 Here are some tips on how to negotiate your Labour contract

Do your research. Before you start negotiating, it's important to understand your rights and entitlements under the UAE Labour Law. This will give you a good starting point for negotiations and help you to identify areas where you may be able to get more favorable terms.

Be prepared to walk away. If you're not happy with the terms of the contract, be prepared to walk away. This shows your employer that you're serious about getting a good deal and that you're not afraid to stand up for yourself.

Be professional and respectful. Even though you're negotiating, it's important to be professional and respectful at all times. This will help to create a positive atmosphere and make it more likely that you'll reach a mutually agreeable outcome.

Be clear about your expectations. When you're negotiating, be clear about what you're hoping to achieve. This will help to keep the negotiations on track and make it easier for you to reach an agreement.

Be willing to compromise. It's unlikely that you'll get everything you want in a negotiation. Be willing to compromise on some things in order to get what's most important to you.

Here are some specific areas that you may want to negotiate in your UAE labour contract:

Salary: This is probably the most important area to negotiate. Do some research to find out what other people in your position with your experience are earning. Then, use this information to negotiate a salary that is fair and competitive.

Benefits: In addition to salary, you may also want to negotiate other benefits, such as health insurance, housing allowance, and annual leave.

Working hours: The UAE Labour Law sets out a maximum working week of 48 hours. However, you may be able to negotiate a shorter working week or more flexible working hours.

Leave: The UAE Labour Law also sets out minimum entitlement to annual leave and sick leave. However, you may be able to negotiate more generous leave entitlements.

Termination terms: The UAE Labour Law sets out the procedures for terminating an employment contract. However, you may be able to negotiate more favorable termination terms, such as a longer notice period or a severance package.

It's important to remember that the UAE Labour Law is a complex piece of legislation. If you're not sure about your rights or entitlements, it's a good idea to consult with an employment lawyer. They can help you to understand your rights and negotiate a fair and equitable labour contract.

Here are the steps on how to file a labour complaint in the UAE

 Identify the Labour Law violation. The first step is to identify the specific Labour Law violation that you are experiencing. This can be done by reviewing the UAE Labour Law or by consulting with a lawyer.

Gather evidence. Once you have identified the violation, you will need to gather evidence to support your complaint. This evidence could include documents, such as your employment contract, salary slips, or termination letter. It could also include witness statements or recordings.

File a complaint with the Ministry of Human Resources and Emiratisation (MOHRE). You can file a complaint with MOHRE online, by mail, or in person at one of their offices. You will need to provide your personal information, the details of the violation, and any supporting evidence.

Mediate the complaint. MOHRE will attempt to mediate the complaint between you and your employer. This process is voluntary, and both parties must agree to participate. If mediation is successful, a settlement agreement will be reached.

File a case with the Labour Court. If mediation is unsuccessful, you can file a case with the Labour Court. The Labour Court is an independent body that will hear your case and issue a ruling.

Here are some additional tips for filing a labour complaint in the UAE:

Be clear and concise in your complaint. The MOHRE and the Labour Court will need to understand the details of your complaint in order to take action.

Provide supporting evidence. The more evidence you can provide to support your complaint, the stronger your case will be.

Be patient. The process of filing a labour complaint can take time. Be patient and persistent, and you will eventually get justice.

I hope this helps!

The U.A.E Labor Law: What You Need to Know in 2023

 The UAE Labor Law was last updated in February 2022, and it introduced a number of new changes for both employers and employees. Some of the key changes include:

• The introduction of fixed-term employment contracts: Under the new law, all employees in the private sector must be employed on fixed-term contracts, with a maximum duration of three years. This change was made in order to provide greater flexibility for both employers and employees, and to make it easier for employers to terminate contracts without having to pay severance.
• An increase in the mandatory Emiratization quota: The new law also increases the mandatory Emiratization quota for private sector companies. From January 1, 2023, at least 2% of a company's workforce must be UAE nationals. This quota will increase by 2% each year, until it reaches 10% in 2026.
• New provisions on harassment and bullying: The new law also includes new provisions on harassment and bullying in the workplace. These provisions make it clear that employers have a duty to protect their employees from harassment and bullying, and they also set out the steps that employers must take if they become aware of such incidents.
• Changes to the leave and holiday entitlements: The new law also makes some changes to the leave and holiday entitlements of employees. For example, the maximum amount of annual leave that an employee can take has been increased from 30 to 35 days. These are just some of the key changes to the UAE Labour Law in 2023. If you are an employer or an employee in the UAE, it is important to familiarize yourself with these changes in order to ensure that you are complying with the law.In addition to the above, here are some other things you need to know about the UAE Labour Law in 2023:
• The minimum wage: The minimum wage in the UAE is AED 3,000 per month for employees aged 18 and over. This applies to all employees in the private sector, regardless of their nationality or the type of work they do.
• Overtime: Employees are entitled to overtime pay if they work more than eight hours per day or 48 hours per week. The overtime rate is 1.5 times the employee's regular hourly rate.
• Termination of employment: An employer can terminate an employee's contract for a number of reasons, including redundancy, misconduct, or poor performance. However, the employer must give the employee written notice of termination, and the amount of notice required will depend on the employee's length of service.
• End of service gratuity: When an employee's contract ends, they are entitled to an end of service gratuity. The amount of gratuity is calculated based on the employee's salary and length of service.
• If you have any questions about the UAE Labour Law, you can contact the Ministry of Human Resources and Emiratisation (MoHRE). You can also find more information on the MoHRE website.

  

The Top 10 UAE Labour Law Questions Answered

 Here are the top 10 UAE Labour Law questions answered:

   1) Does the New UAE Labour Law impact the UAE working day?
Yes, the new law reduces the maximum working hours per week from 48 to 45. The standard working day is 8 hours, with a one-hour break for lunch. Employees are also entitled to a weekly rest day of at least 24 consecutive hours.

  2)  How many days of maternity leave am I entitled to?
Employees are entitled to 45 days of paid maternity leave, of which 15 days must be taken before the expected date of delivery and the remaining 30 days after the delivery.
   3) Is there a maximum duration of my employment contract?
Yes, the maximum duration of an employment contract is 3 years. After 3 years, the contract must be renewed on a rolling basis.
  4)  How many days of sick leave am I entitled to per year?
Employees are entitled to a total of 90 days of paid sick leave per year. Of these 90 days, 15 will be paid at full salary, 30 at half salary and 45 will be without compensation.
  5) What are the notice periods for termination of employment?
The notice period for termination of employment depends on the length of service of the employee. For employees with less than 2 years of service, the notice period is 1 month. For employees with more than 2 years of service, the notice period is 2 months. 

 6) What are the severance pay entitlements for termination of employment?
Employees are entitled to severance pay if they are terminated by their employer without just cause. The amount of severance pay depends on the length of service of the employee. For employees with less than 2 years of service, the severance pay is equal to 15 days' salary for each completed year of service. For employees with more than 2 years of service, the severance pay is equal to 30 days' salary for each completed year of service.
  7) What are the employee rights in the event of redundancy?
Employees who are made redundant are entitled to severance pay and other benefits, such as outplacement assistance. The amount of severance pay and other benefits depends on the length of service of the employee and the terms of their employment contract.
   8) What are the anti-discrimination provisions in the UAE Labour Law?
The UAE Labour Law prohibits discrimination in employment on the basis of gender, race, color, sex, religion, national or social origin or disability.
  9) What are the occupational health and safety (OHS) requirements in the UAE Labour Law?
Employers are responsible for ensuring the safety and health of their employees. They must provide a safe working environment and take all necessary measures to prevent accidents and injuries.
  10) What are the dispute resolution mechanisms in the UAE Labour Law?
Employees who have a dispute with their employer can file a complaint with the Ministry of Labour. They can also take their case to the Labour Court.
These are just some of the top 10 UAE Labour Law questions answered. For more information, you can visit the website of the Ministry of Labour or consult with an employment lawyer.