Iran has suggested improving its relationship with Jordan as work on its ties with its most powerful Arab neighbours continues.
Relations between Jordan and Iran have deteriorated in the past two years after King Abdullah II accused pro-Iranian militias in Syria of smuggling narcotics into the kingdom.
At the same time, Jordan has been pushing for a region-wide accommodation with Syria, Iran's main ally in the area.
Foreign Minister Hossein Amirabdollahian told the official Iranian news agency on Saturday that he talked for 40 minutes about Iraq with King Abdullah at a meeting in Jordan in December and raised the matter of a visit to Tehran.
Jordan has a defence pact with the US and is one of the largest recipients of American aid.
“Iran is attentive to (the need) to raise the level of ties and co-operation with Hashemite Kingdom of Jordan,” Mr Amirabdollahian said.
“The Jordanian monarch expressed his desire to visit Tehran soon, which would be welcomed by Iran.”
The disclosure comes after a Chinese-brokered deal brought a resumption of diplomatic relations between Iran and Saudi Arabia.
Iran has also said it wants to improve ties with Egypt, the most populous Arab country. Last year, the UAE returned its ambassador to Tehran.
King Abdullah was last in Tehran in September 2003, a year before he warned of a “Shiite crescent”, in reference of Iranian expansion into the Levant, helped by the US-led invasion that toppled Saddam Hussein.
Jordan has not sent an ambassador to Tehran since rioters attacked Saudi diplomatic missions in Tehran and Meshad in 2016, which prompted Riyadh to cut ties with Tehran.
The attacks followed the execution of Saudi Shiite cleric in Saudi Arabia on charges linked to terrorism and other issues.
A Jordanian official confirmed that the king discussed a visit to Tehran with Mr Amirabdollahian in December but did not suggest that it would be imminent.
“The issue was brought up … provided that arrangements for such a visit would take place at the suitable time,” the official said.
With Russian coaxing, Jordan normalised relations with Syria in late 2021. It later accused Iranian militias and the Syrian military of fuelling the narcotics trade to Jordan, particularly the stimulant known as Captagon.
But Jordan has been at the forefront of efforts to reintegrate the regime of President Bashar Al Assad in the region, despite a lack of Arab consensus on Syria's rehabilitation.
Most Arab states downgraded their ties with Damascus after the regime repressed peaceful demonstrations against five decades of Assad family rule at the outbreak of the Syrian revolt in March 2011.
Jordanian officials have suggested that with Iran being an influential power in Syria and Iraq, Jordan has to talk to Tehran to solve its problems with the Syrian regime and with the Iranian-supported Shiite power brokers in Baghdad.
The issue was discussed at a closed-door meeting in Amman at the end of the year, attended by western researchers and figures from the Jordanian establishment.
A former Jordanian official at the meeting gave the example of failed efforts by the kingdom for years to raise its share of the Iraqi market for consumer products.
“Every time we tried, the Iraqi side would demur,” he said. “Then they bluntly told us that Iran would need to give its approval.”
Tour de France
When: July 7-29
UAE Team Emirates:
Dan Martin, Alexander Kristoff, Darwin Atapuma, Marco Marcato, Kristijan Durasek, Oliviero Troia, Roberto Ferrari and Rory Sutherland
Profile
Company name: Jaib
Started: January 2018
Co-founders: Fouad Jeryes and Sinan Taifour
Based: Jordan
Sector: FinTech
Total transactions: over $800,000 since January, 2018
Investors in Jaib's mother company Alpha Apps: Aramex and 500 Startups
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5 Pakistan 43.3 per cent
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The biog
Place of birth: Kalba
Family: Mother of eight children and has 10 grandchildren
Favourite traditional dish: Al Harees, a slow cooked porridge-like dish made from boiled cracked or coarsely ground wheat mixed with meat or chicken
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Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
