The UAE's telecoms operators e& and Emirates Integrated Telecommunications Company, known as du, will start paying corporate tax and royalties to the federal government under a new and simplified structure starting from January 1 next year.
Technology company e&, formerly known as the Etisalat Group, will pay a minimum aggregate amount of Dh5.7 billion ($1.55 billion) in corporate tax and federal royalty, the company said in a regulatory filing to the Abu Dhabi Securities Exchange, where its shares are traded.
The aggregate amount of royalty and corporate tax payable by EITC shall not be lower than Dh1.8 billion a year, du said in a separate bourse filing to the Dubai Financial Market on Tuesday.
The new royalty regime will be effective from 2024 to 2026 in the context of the new corporate tax regime, it said.
The telecoms operators said they have received new guidelines from the government, under which the federal royalty rate of 38 per cent will be applied to the sum of “regulated and non-regulated” UAE net profit.
The 9 per cent corporate tax law will apply to e& from the beginning of next year, it said.
The aggregate annual amount of royalty and corporate tax shall be paid within five months from the end of the fiscal year, it added.
The two operators said their profits attributable to non-controlling interest holders of UAE-controlled entities will be excluded from the royalty calculation.
Profit generated by international entities, dividend distributions, or other profits from international investments that are subject to a local corporate tax, will also be excluded from the royalty calculation.
“We believe that the new royalty structure is more simplified and avoids complexity in the calculation,” e& said.
“Based on our initial assessment, the combined impact of royalty and corporate tax will be neutral to e&’s financials.”
Du said the new royalty regime ensures “clarity” by pegging the calculations solely to net profit.
“Based on our initial assessment, the aggregate amount of corporate tax and royalty under the new regime will not be higher than the royalty under the old regime,” it said.
E&, which has transformed into a technology investment conglomerate over the past few years, reported a 20 per cent jump in its third quarter net income as its subscriber base grew.
Consolidated net profit in the three months up to September 30 increased to Dh3 billion as revenue reached Dh13.4 billion.
E&’s total subscribers climbed to 167 million at the end of September, about five million more than the same period last year.
Du also reported a strong third-quarter as its net profit surged 60 per cent Dh502.37 million.
It posted a 3.7 per cent annual rise in revenue in the July-September quarter to Dh3.29 billion, driven by a 5.7 per cent growth in mobile service revenue to more than Dh1.5 billion.
TEACHERS' PAY - WHAT YOU NEED TO KNOW
Pay varies significantly depending on the school, its rating and the curriculum. Here's a rough guide as of January 2021:
- top end schools tend to pay Dh16,000-17,000 a month - plus a monthly housing allowance of up to Dh6,000. These tend to be British curriculum schools rated 'outstanding' or 'very good', followed by American schools
- average salary across curriculums and skill levels is about Dh10,000, recruiters say
- it is becoming more common for schools to provide accommodation, sometimes in an apartment block with other teachers, rather than hand teachers a cash housing allowance
- some strong performing schools have cut back on salaries since the pandemic began, sometimes offering Dh16,000 including the housing allowance, which reflects the slump in rental costs, and sheer demand for jobs
- maths and science teachers are most in demand and some schools will pay up to Dh3,000 more than other teachers in recognition of their technical skills
- at the other end of the market, teachers in some Indian schools, where fees are lower and competition among applicants is intense, can be paid as low as Dh3,000 per month
- in Indian schools, it has also become common for teachers to share residential accommodation, living in a block with colleagues
Company%20profile
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The specs
The specs: 2019 Audi Q8
Price, base: Dh315,000
Engine: 3.0-litre turbocharged V6
Gearbox: Eight-speed automatic
Power: 340hp @ 3,500rpm
Torque: 500Nm @ 2,250rpm
Fuel economy, combined: 6.7L / 100km
Specs
Engine: 51.5kW electric motor
Range: 400km
Power: 134bhp
Torque: 175Nm
Price: From Dh98,800
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Indoor cricket in a nutshell
Indoor Cricket World Cup – Sep 16-20, Insportz, Dubai
16 Indoor cricket matches are 16 overs per side
8 There are eight players per team
9 There have been nine Indoor Cricket World Cups for men. Australia have won every one.
5 Five runs are deducted from the score when a wickets falls
4 Batsmen bat in pairs, facing four overs per partnership
Scoring In indoor cricket, runs are scored by way of both physical and bonus runs. Physical runs are scored by both batsmen completing a run from one crease to the other. Bonus runs are scored when the ball hits a net in different zones, but only when at least one physical run is score.
Zones
A Front net, behind the striker and wicketkeeper: 0 runs
B Side nets, between the striker and halfway down the pitch: 1 run
C Side nets between halfway and the bowlers end: 2 runs
D Back net: 4 runs on the bounce, 6 runs on the full
The specs
Engine: 3.0-litre 6-cyl turbo
Power: 435hp at 5,900rpm
Torque: 520Nm at 1,800-5,500rpm
Transmission: 9-speed auto
Price: from Dh498,542
On sale: now
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What are the influencer academy modules?
- Mastery of audio-visual content creation.
- Cinematography, shots and movement.
- All aspects of post-production.
- Emerging technologies and VFX with AI and CGI.
- Understanding of marketing objectives and audience engagement.
- Tourism industry knowledge.
- Professional ethics.
