6 NEW RULES INTRODUCED IN THE UAE IN 2023 TO BE AWARE OF

23 November 2023

Manasi Dicholkar

Every year, the UAE strives to enhance the living experience for its residents by implementing significant legal changes. In 2023, Crucial Developments affected the residents in the UAE ranging from small adjustments to bigger ones.

Dubai: Resident in the UAE should be aware of the following new changes in UAE

1. Reduction in Tourism Tax in Abu Dhabi:

The Department of Culture and Tourism in Abu Dhabi has declared changes in government fees within the tourism sector, effective from September 1, 2023. Notably a reduction in the tourism fee for guests from 6% to 4%. Additionally, the municipality fee of Dhs15 per room per night will no longer be applicable. The 4% municipality fee on hotel restaurants and the existing 6% municipality fee will also be eliminated. However, it's important to note that the four percent municipality fee based on the value of the invoice issued to the customer will persist.

2. Simplified Procedures for Updating Emirates ID:

Residents now have the convenience of updating their Emirates ID details online. This includes changes in their visa which will be reflected: name, occupation, employer, passport details, and even nationality. Any alterations made to residency information will prompt the issuance of a new Emirates ID card. The process can be completed through the official website or the smart application, requiring only UAE Pass log-in details. Alternatively, residents can visit a customer happiness center or an approved typing center to facilitate the issuance of their new Emirates ID.

Staying abreast of these updates is crucial for residents in the UAE, ensuring they can make the most of the evolving regulatory landscape and enjoy an enhanced quality of life in the UAE.

3. Removal of Grace Period for Dubai Tourist Visas:

The Federal Authority for Identity, Citizenship, Customs, and Port Security (ICP) confirmed in May 2023 that the 10-day grace period for Dubai tourist visas will no longer be applicable. Previously, visitors had an additional 10 days beyond the visa expiry date to stay in the emirate before incurring overstay fines. As of now, anyone overstaying their Dubai visit login laskar288 visa will be immediately fined Dhs50 per day.

4. Extension of UAE Work Permit Duration:

The Federal National Council (FNC) announced in May 2023 that the current two-year work permit in the UAE will be extended to three years. This move aims to reduce the associated costs of obtaining work permits. All work permits are issued by the UAE’s Ministry of Human Resources and Emiratisation (MOHRE), although a specific timeline for the rollout was not provided.

5. Removal of 30% Tax on Alcohol:

Effective from January 1, 2023, the 30% tax on all alcohol purchases was eliminated. This significant change has led to immediate price reductions at liquor stores such as African & Eastern and MMI. Consumers buying from these shops can now enjoy alcohol without the additional tax burden.

These updates in Dubai's visa regulations and taxation policies reflect the government's commitment to enhancing the visitor experience, supporting the workforce, and making certain commodities more accessible to residents and tourists alike. Staying informed about these changes is crucial for a smooth and compliant stay in Dubai.

6. Introduction of the Involuntary Loss of Employment (ILOE) Scheme in the UAE

Commencing on January 1, 2023, the Involuntary Loss of Employment (ILOE) Scheme represents a pivotal development in the social security landscape of the UAE. This scheme is designed to offer a safety net to workers facing job loss by providing compensation for up to three months. Applicable to both private and public sector employees, enrollment in the ILOE Scheme is mandatory for all workers, with an extended deadline for registration until October 1, 2023.

Key Highlights of the ILOE Scheme:

• Universal Coverage: The ILOE Scheme is inclusive, covering workers across the private and public sectors. This broad scope ensures that a wide spectrum of the workforce benefits from the scheme's protective measures.

  Enrollment Deadline Extension: Recognizing the significance of the scheme, the enrollment deadline has been extended to October 1, 2023. This extension offers employees additional time to complete the mandatory enrollment process.

  Compensation Calculation: Workers enrolled in the ILOE Scheme are eligible for compensation calculated at up to 60% of their salary. This financial support aims to mitigate the immediate economic impact of involuntary unemployment.

  Penalties for Non-Compliance: As outlined in Cabinet Resolution No. 97 of 2022, employees failing to subscribe to the insurance within the grace period will incur a fine of Dhs400 imposed by the Ministry. Additionally, a fine of Dhs200 will be levied if the insured individual fails to pay the prescribed insurance premiums for more than three months.

  The introduction of the ILOE Scheme aligns with the UAE's commitment to enhancing social security measures and providing a safety net for workers during challenging times. Workers are encouraged to ensure timely enrollment to secure the benefits of this laskar288 scheme and avoid potential penalties.

IN CONCLUSION

To sum up, the UAE has always been considered as a major hub in the MENA and the leader in embracing reforms while accompanying the international standards and practices, ensuring its residents are living in an enhanced place.

ALKETBI TOUCH:

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