Policy update

Policy & Legal Updates

UAE Issues VAT Fixed Establishment Guidance and Pillar Two Registration Deadlines

DLA Piper reported on new Federal Tax Authority guidance regarding VAT fixed establishment risks for non-resident companies with personnel at client premises. The briefing also highlighted a November 30, 2026 registration deadline for the Pillar Two Qualified Domestic Minimum Top-up Tax for qualifying multinational entities. Pillar Two rules require applicable multinational groups to satisfy a 15% minimum effective tax rate.

Policy & Legal Updates

UAE Federal Tax Authority Issues Clarification TAXP010 on Corporate Tax Designated Zones

The UAE Federal Tax Authority published Public Clarification TAXP010 regarding Free Zones and Designated Zones for tax purposes. The guidance details geographic qualifying criteria affecting corporate tax treatment and the preferential 0% rate on distribution activities.

Policy & Legal Updates

China Extends APEC Business Travel Card Stay Limit to 90 Days

China has announced that the maximum permitted stay for APEC Business Travel Card holders will increase from 60 days to 90 days, effective November 1, 2026. The policy aims to improve business mobility and streamline travel for executives from participating economies.

Policy & Legal Updates

UAE Updates Administrative Penalties for Nationwide Electronic Invoicing System

The UAE Ministry of Finance has issued a new Cabinet Decision revising administrative penalties related to the national eInvoicing system. The decision repeals Cabinet Decision No. 106 of 2025 and adjusts fine structures to support business compliance. Fines include an initial AED 5,000 penalty for non-compliance, with a 12-month cap set at AED 50,000.