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UAE, Cisco to extend partnership program for three years

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The United Arab Emirates and Cisco, the US computer networking company, are expanding their partnership for further three years to work on hybrid workspaces, online security, and to create an innovation ecosystem.

The UAE and Cisco partnered under a three-year program in 2018. In the first phase, digitalization, promotion of a smart government, tourism and trade and improvement of efficiency across the health, energy and logistics sectors were accelerated.

Cisco’s global innovation officer Dr Guy Diedrich said that under the partnership, the company’s country digital acceleration (CDA) program will help governments apply artificial intelligence and machine learning to meet the country’s challenges.

Diedrich said, after successful completion of the first round in all the areas, both sides have signed up for another phase of the three-year program. The UAE’s innovation ecosystem is growing rapidly, he added.

Diedrich pointed out that the coronavirus pandemic has sped up the adoption of new technologies, making the digital divide very evident.

According to an International Telecommunication Union report, the internet penetration rate is 87 percent in the developed world, and only 47 percent in developing countries, while this ratio is just 19 percent in the least developed countries.

Hailing the UAE government’s vision, Diedrich said, the country timely understood that it may have one of the most advanced digital societies in the world.

During the pandemic, Dubai’s Happiness Agenda, found that the city was well equipped for remote working and was able to shift rapidly out of the office. This connectedness helped the country avoid any reduction in services offered to residents and visitors, the Agenda found.

Diedrich said that if 40 percent of the population are connected, they would be able to lift 500 million people out of poverty and add $6.7 trillion to global GDP.

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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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