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Policy & Legal Updates

Understand the policies, laws and regulations shaping business across China and the UAE.

Business registration · Investment · Taxation · Customs · Trade · Financial regulation · Employment · Visas · Free-zone policies. Every update identifies the issuing authority, jurisdiction, publication date, effective date and official source.

Policy & Legal Updates
Source: Exiloz

UAE Clarifies Reverse Charge VAT Rules for Imported Services under VATP044

Tax advisory firm Exiloz published an analysis detailing the operational impacts of FTA Public Clarification VATP044 on cross-border transactions. The guidance defines how the reverse charge mechanism applies to imported services from foreign vendors via a three-part test. Businesses must record output tax in Box 3 and recoverable input tax in Box 10 of their VAT returns.

  • Federal Tax Authority
  • United Arab Emirates
  • Final rule
China–UAE News
Source: The Wire China

Former US Officials Detail AI Chip Diffusion Rules for UAE and Middle East

In a book excerpt published by The Wire China, former US government officials Ben Buchanan and Tantum Collins detailed how Washington drafted the 'diffusion rule' to oversee advanced AI chip exports. The framework was created to manage semiconductor sales to Middle Eastern nations including the UAE and Saudi Arabia. The policy aimed to balance diplomatic ties with key regional partners while restricting potential leakage of US AI technologies to China.

  • US Government
  • United States
  • Final rule
Policy & Legal Updates
Source: Gulf Today

UAE Mandates Tracking Devices and Electronic Contracts for All Rental Vehicles

New executive regulations under Federal Law No. 14 of 2024 will require UAE rental car companies to install tracking devices connected to a unified electronic system starting January 1, 2027. Operators must secure annual renewable permits, hold valid commercial licenses, and issue only standardized electronic contracts.

  • UAE Licensing and Traffic Authorities
  • United Arab Emirates
  • Effective January 1, 2027
  • Final rule

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