Sharjah Consultative Council (SCC) has approved a landmark bill introducing corporate tax on natural resources. This decision marks a significant milestone in the UAE. Notably, it is the first legislation to regulate activities involving extractive and non-extractive natural resources.
The newly introduced bill focuses on taxing companies engaged in resource extraction and utilization. This includes mineral extraction and related operations. Additionally, it establishes a structured framework to ensure compliance with taxation while promoting sustainable resource management.
Moreover, Sheikh Rashid bin Saqr Al Qasimi, director of Sharjah’s Finance Department, highlighted the bill’s importance. He explained that it is part of a broader effort to enhance the emirate’s tax system. Furthermore, the law aims to strengthen governance, enforce regulatory provisions, and align with Sharjah’s vision for sustainable growth.
In addition, the bill seeks to increase public revenues by regulating economic activities tied to natural resources. These revenues will be used to fund development projects across Sharjah. This initiative also reflects the government’s commitment to fostering transparency and creating a robust business environment.
The decision was finalized during the SCC’s seventh meeting, held at its Sharjah headquarters. Significantly, the session was part of the council’s agenda for the second regular session of its eleventh legislative term. Dr. Abdullah Belhaif Al Nuaimi, Chairman of the Council, presided over the meeting.
Sharjah Leadership Vision
Furthermore, this legislation underscores Sharjah’s leadership in economic reform and proactive governance. By introducing this innovative tax framework, Sharjah sets an example for other emirates. Importantly, it reflects the emirate’s commitment to aligning with global best practices.
As a result, the bill promotes sustainable development and ensures the efficient use of natural resources. Consequently, Sharjah is positioned as a pioneer in resource management within the UAE.
Ultimately, this initiative supports balanced economic growth and benefits the community. It also highlights Sharjah’s long-term vision for economic strength through strategic policies and transparent governance. With these measures, Sharjah continues to lead in fostering a sustainable and progressive economy.
