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New opportunity for residency offenders: UAE grants penalty-free grace period

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The Federal Authority for Identity, Citizenship, Customs and Port Security (ICP) has announced a grace period of two months for residency offenders to rectify their status starting from 1 September 2024.

The financial penalties incurred will be cancelled so as to be able to rectify their status or leave the country, ICP added.

This decision offers the residency offenders a new opportunity to amend their status in accordance with the law. This is to be done with consideration of their circumstances and based on the values of mercy and tolerance on which the UAE was founded, ICP said.

Recently, the Federal Authority for Identity, Citizenship, Customs and Ports Security (ICP) has identified 14 types of administrative violations related to the Emirates ID card and residency services, adding that the financial fines related to these violations range between Dhs20 per day, amounting to Dhs20,000 for one violation, depending on its type.

The administrative fines related to the ID card are imposed in case of committing two violations: delaying registration to obtain the ID card, and delaying its renewal after 30 days from its expiration date, ICP pointed out, adding that the fine in this case is Dhs20 per day of delay, with a maximum of Dhs1,000.

Regarding fines for violations related to residency and foreigners’ affairs, ICP said these include 6 fines of Dhs500 each, which are imposed in these cases: if the company’s representative submits transactions to the passport employee which do not belong to the company, entering data not belonging to the company via the e-Dirham, the expiration of the representative’s card, not carrying the card when submitting transactions, and violating the work system in service centres.

ICP also indicated that there are 3 fines of Dhs5,000 for these violations: misuse of the system, obstructing the work of the ICP’s employees or not cooperating with them, or failure of system users to pay the financial fees needed to get the service, according to the specified value.

Regarding the violation of inaccurate typing of applications, the fine is Dhs100, while the fine for the violation of providing incorrect data is Dhs3,000 and the violation of issuing visas or entry permits to an establishment which has no activity is Dhs20,000.

Citizens and GCC nationals and UAE residents who could not get or renew their ID cards or the ID cards of their sponsors, on the specified date, can apply for exemption from fines, provided they meet the conditions decided.

With 20 years of experience across print, TV, and digital journalism, Sudhashree is a seasoned media professional with a keen eye for news. A true news bug, she thrives on curating stories that capture the pulse of fashion, film, and all things trending. Deeply immersed in the fast-evolving media landscape, she swears by the power of social media to shape narratives and spark conversations.

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Small businesses in the UAE now have tax relief until 2029

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Small businesses in the UAE with annual revenues of up to Dh3 million will continue to be eligible for Small Business Relief under the corporate tax regime until the end of 2029.

The Ministry of Finance said on Friday that Ministerial Decision No. 131 extends the period during which eligible businesses can benefit from Small Business Relief to cover tax periods ending on or before December 31, 2029.

The relief was introduced to help reduce the corporate tax compliance burden for smaller businesses and start-ups that meet the eligibility requirements.

Dh3 million threshold remains unchanged

The existing annual revenue threshold of Dh3 million, set under Ministerial Decision No. 73 of 2023, will continue to apply.

The relief applies to tax periods beginning on or after June 1, 2023 and, following the latest amendment, will remain available for subsequent tax periods ending on or before December 31, 2029.

Eligible taxable persons with annual revenue of up to Dh3 million can claim Small Business Relief, subject to meeting the conditions and requirements outlined in the corporate tax legislation.

The relief enables qualifying businesses to benefit from simplified corporate tax compliance requirements.

More time for small businesses

The extension provides eligible small businesses and start-ups with additional tax periods to benefit from the relief while continuing to meet the Dh3 million revenue threshold.

The Ministry said the decision is part of its efforts to support smaller companies and entrepreneurs, strengthen the business environment, and encourage sustainable growth and expansion.

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UAE public holiday announced: 3-day weekend coming up on August 28

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Planning your next long weekend? The UAE has confirmed Friday, August 28, as a public holiday for employees in both the public and private sectors.

The holiday commemorates Prophet Muhammad’s (PBUH) birthday, an occasion included among the UAE’s official public holidays. As the date follows the Islamic calendar, the timing changes from year to year.

A three-day break for many residents

With the holiday falling on a Friday, employees who follow a Monday-to-Friday working week can enjoy three days off:

  • Friday, August 28: Public holiday
  • Saturday, August 29: Weekend
  • Sunday, August 30: Weekend

That means residents can make the most of the break with a short trip, a staycation or a relaxed weekend at home.

Another UAE holiday is coming

The next major public holiday on the UAE calendar will be Eid Al Etihad, with celebrations and the official holiday scheduled for December 2 and 3.

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What the UAE’s new vape excise price means for consumers and retailers

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The UAE Ministry of Finance has introduced a new rule that sets a minimum excise price for liquids used in electronic smoking devices.

Beginning September 1, vaping liquids will be subject to a minimum excise price of AED 1 per millilitre.

The ministry confirmed that the existing minimum excise prices for cigarettes, water pipe tobacco (shisha), and other tobacco products will remain unchanged.

According to the ministry, the decision aims to improve tax compliance, respond to developments in the tobacco and vaping industry, and create a more consistent pricing framework across tobacco and electronic smoking products.

The UAE will also continue applying its 100% excise tax on all tobacco products covered under the country’s excise tax regulations.

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