The cryptocurrency world was rocked by the news of one of the largest heists in its history: hackers stole a staggering $1.5 billion from the popular exchange Bybit. This incident, reported by NBC News, is a stark reminder of the vulnerabilities that still plague the crypto industry, despite its rapid growth and technological advancements. Let’s dive into what happened, what it means for the crypto ecosystem, and how users and exchanges can better protect themselves in the future. What Happened? Bybit, a leading cryptocurrency exchange known for its derivatives trading platform, fell victim to a sophisticated cyberattack. Hackers exploited vulnerabilities in the exchange’s security infrastructure, making off with $1.5 billion in digital assets. While the exact method of the attack hasn’t been fully disclosed, such breaches often involve phishing, social engineering, or exploiting software flaws. This heist is particularly alarming due to the sheer scale of the theft. It not only ...
Companies in Sharjah engaged in extractive and non-extractive activities of natural resources are now subject to 20 percent corporate taxe. it was announced on Thursday.
Extractive companies are those involved in the extraction of raw materials or natural resources, including oil, metals, mineral, and aggregates), processing and utilization by consumers. Non-extractive companies are doing the separation, treatment, refinment, processing, storing, transporting, marketing or distributing of natural resources.
The law, passed by Sheikh Dr. Sultan bin Mohammed Al Qasimi, Supreme Council Member and Ruler of Sharjah, stipulates that companies engaged in extractive activities and those involved in non-extractive natural resources are subject to the corporate tax.
The corporate tax for extractive companies is as follows:
1. A tax of 20 per cent will be imposed on extractive companies based on the taxable base, following the mechanisms and schedules defined in agreements made between the (Sharjah) Oil Department and the company
2. The taxable base for companies engaged in extractive activities will be calculated based on the total share of the company from the value of produced oil and gas, in accordance with the formula dividing the total royalty and any other agreed-upon participation in the division between the Oil Department and the company.
3. Any amounts for royalties, bonuses due, and annual rent for any concession area operated by extractive companies will be determined according to the agreement signed between the Oil Department and those companies.
The corporate tax for non-extractive natural resource companies is as follows:
1. A tax of 20 per cent is imposed on non-extractive natural resource companies based on the taxable base for each financial year.
2. The taxable base for non-extractive natural resource companies is calculated based on the company's net taxable profits under the provisions of this law, after making necessary adjustments as follows:
2.a. The value of asset depreciation may be deducted from the taxable base, with non-current asset depreciation calculated at a rate of 20 per cent annually. If the company follows an international standard for preparing its financial statements that results in changes to the accounting methods for depreciation, it may deduct the depreciation amount according to the rates specified in the financial statements, provided that the finance department approves this during the audit and ensures that the intention is not to reduce profits.
2.b. Tax losses may be deducted from the taxable base for subsequent tax periods for calculating the taxable base for that tax period. Additionally, tax losses may be carried forward to unspecified future periods.
Tax compliance and penalty
The payment of tax is a prerequisite for renewing concession rights or commercial license in the Sharjah. Companies subject to tax under this law are required to maintain records and supporting documents for the accuracy of the information provided in financial statements or any other tax-related statements for a period of 7 years from the date those financial statements are issued.
A financial penalty of 5 per cent of the total due tax amount will be imposed on the company if the emirate’s finance department determines that there were financial violations intentionally committed by the company for the purpose of tax evasion.
Comments
Post a Comment