The rules of engagement in the conflict between the Iranian-led axis and Israel are evolving, with both sides adjusting their strategies. Israel appears to have adopted a policy of targeted assassinations, sealing the fate of Gaza ceasefire negotiations, while Iran and its allies are adopting a war of attrition. Negotiations for a ceasefire in Gaza seem unlikely to yield a permanent solution in the near future, as a resolution is likely only after several intense rounds of conflict.
These could include simultaneous operations from the Lebanese, Syrian, Yemeni, and Iraqi fronts, directed by Iran's Revolutionary Guard Corps (IRGC), as well as potential direct confrontations between Iran and Israel. Yet, the situation could still be managed to prevent escalation into a larger war involving the US as Israel’s strategic ally against Iran and its four key proxies.
A world war erupting over Gaza is improbable, as neither Russia nor China is expected to engage on Iran’s side against the US and Israel. Nor is the US keen to be dragged into war with Iran, as Israel desires, to achieve multiple goals – primarily the destruction of Iran’s nuclear facilities. However, an imminent escalation is inevitable.
The assassination of Ismail Haniyeh, head of the Hamas political bureau, in Tehran, is a reminder of Israel's security penetrations that have allowed it to repeatedly carry out attacks in Iran, with a large network of agents within Iranian ranks and the ranks of its proxies.
The day before Haniyeh's assassination, an Israeli strike killed senior Hezbollah figure Fouad Shukr in the southern suburbs of Beirut. This was a clear warning to Hezbollah secretary general Hassan Nasrallah. The series of assassinations targeting senior leaders and those very close to him is a message from Israeli intelligence, indicating precise knowledge of the location of Hezbollah’s leadership yet also their decision to refrain from escalating to the point of assassinating Nasrallah, the most crucial partner of the IRGC and the Supreme Leader of the Islamic Republic of Iran, Ayatollah Ali Khamenei.
Israel's justification for the operation as revenge for the killing of 12 Druze children in Majdal Shams in the occupied Syrian Golan Heights, which Israel annexed without international recognition, was an audacious pretext, as the Druze of Majdal Shams are Arabs who rejected Israeli citizenship.
Hezbollah denied Israel's accusation of it having carried out the operation that killed the children playing football, and Israel failed to sell its accusation to the Druze community, especially since the Druze leader in Lebanon, Walid Joumblatt, adopted a firm stance against Israel cynically using Druze victims as a pretext.
Nasrallah viewed the attack on the southern suburbs not as a response to what happened in Majdal Shams but as part of the war and a response to the supportive front for Hamas in its war with Israel. His statements came during the funeral of Fouad Shukr, after the assassination of Haniyeh, and included a message of retaliation.
Israel may be more eager to expand the scope of the war to the point of direct confrontation with Iran
The Iranian leadership summoned the heads of its proxies to study, co-ordinate, and time its retaliation. It is preparing for operations on all fronts, in revenge for the violation of its dignity and honour, as Nasrallah said last week.
The dilemma facing both Iran and its proxies, as well as Israel, is that while the scene of revenge is frightening, revenge may also be necessary for deterrence. Israel may be more eager to expand the scope of the war to the point of direct confrontation with Iran for several reasons, notably Israel's desire to involve the US in a war against Iran and its arms in Lebanon, Syria, Yemen and Iraq. This would give it opportunity to undermine the Iranian nuclear programme, which is Tehran's absolute priority and something it wants to protect, even at the expense of Palestine.
For Israel, opening a war front against Hezbollah in Lebanon is a useful window to eliminate its military arsenal with its missiles and shelters, which Iran is said to use to store what it likes to conceal, including nuclear materials.
Although US President Joe Biden's administration does not want to wage war against Iran or Lebanon, US Defence Secretary Lloyd Austin proclaimed that the US would stand by Israel in case of war because they are allies. He stressed that an expanded war is not inevitable, but American warships have moved to the region in preparation and readiness for a series of retaliatory actions.
American warships may deter major retaliatory operations by Iran and its axis, as well as Israel, while the Biden administration tries to prevent escalation and revive ceasefire negotiations in Gaza.
Iran is divided between those who prefer patience and moderation in retaliation, a group that includes the new president Masoud Pezeshkian, who recently appointed Javad Zarif as Vice President for Strategic Affairs. Mr Zarif is the former foreign minister known as the architect of the nuclear agreement with Barack Obama's administration.
The other faction considers revenge necessary to restore dignity, led by the Supreme Leader Ali Khamenei. This group wants a comprehensive and massive collective response, meaning Iran and all its arms in the resistance axis, especially since Israeli operations included striking the port of Hodeida in Yemen before the assassination of Shukr in Lebanon and Haniyeh in Tehran.
According to Iranian sources, the Supreme Leader is very angry and wants to inform his regional axis leaders and internal Iranian leaderships that Iran's new strategy no longer relies on avoiding direct confrontation with Israel or fearing a major war in the region. The Supreme Leader wants the response to be co-ordinated, conveyed militarily to Israel and politically to the US.
Joe Biden reportedly sent a warning message to his Iranian counterpart Masoud Pezeshkian, reiterating the US and its partners' commitment to Israel's security, confirming that America would defend it if Iran and its allies tried to attack Israel. This was reported by the Kuwaiti newspaper Al-Jarida, citing a source in the Iranian National Security Council.
According to the message, delivered through the Swiss embassy, Mr Biden called for restraint and confirmed that the Americans were not informed ahead of time of Haniyeh's assassination and are ready to mediate to find a co-ordinated response that saves face for the Iranians. According to the same source, when Supreme Leader Ali Khamenei received the message from Mr Pezeshkian, he ordered him not to respond.
Israel is on high alert, anticipating an imminent response from Hezbollah and Iran, and is studying its options to retaliate against the retaliation and avenge the revenge. This is something Iran is factoring into its plans for its operations. Indeed, according to sources familiar with the thinking in Tehran, Iran is studying what the nature of the Israeli response to Iranian revenge will be before making a final decision on the nature of the co-ordinated operations for Iran and its axis.
According to their information, Iran is telling its friends it is in no hurry to carry out the inevitable revenge and prefers to wait a bit to read the Israeli scene and its developments in the coming days. However, if Israel resorts to new provocative actions, this will affect the timing and nature of the axis's responses.
It is worth mentioning here that Israel did not claim responsibility for the assassination of Ismail Haniyeh. Some do not rule out that the assassination may stem from internal Iranian-Iranian, Palestinian-Palestinian, or perhaps Iranian-Palestinian conflicts. However, this does not rule out that Israel was behind Haniyeh's assassination in Tehran.
Everything is now possible in the cycle of revenge and retaliation, but efforts for de-escalation are continuing. A US-European partnership is seeking to convince Iran to not fall into the trap of Israeli provocation. On the other side, they are pressuring Israel not to undermine the negotiations or replace them with a strategy of assassinations.
Everyone is waiting and watching for the next round of these small wars. The majority of observers are confident that no major world war will start from the Middle East. Indeed, an expanded war scares all players, regional and international.
The developments over the past few weeks have made it clear that Iran fears the implications of an expanded war on its nuclear interests and its proxies. It may therefore prefer to bite its tongue within its strategic patience doctrine to avoid harming its interests by causing the Democratic Party to lose the presidential elections to Republican candidate Donald Trump.
Interests come before principles, after all, especially in light of the costs and benefits calculations of strategic recklessness versus strategic patience.
Live updates: Follow the latest on Israel-Gaza
In numbers: China in Dubai
The number of Chinese people living in Dubai: An estimated 200,000
Number of Chinese people in International City: Almost 50,000
Daily visitors to Dragon Mart in 2018/19: 120,000
Daily visitors to Dragon Mart in 2010: 20,000
Percentage increase in visitors in eight years: 500 per cent
SPEC SHEET
Display: 10.4-inch IPS LCD, 400 nits, toughened glass
CPU: Unisoc T610; Mali G52 GPU
Memory: 4GB
Storage: 64GB, up to 512GB microSD
Camera: 8MP rear, 5MP front
Connectivity: Wi-Fi, Bluetooth 5.0, USB-C, 3.5mm audio
Battery: 8200mAh, up to 10 hours video
Platform: Android 11
Audio: Stereo speakers, 2 mics
Durability: IP52
Biometrics: Face unlock
Price: Dh849
Veil (Object Lessons)
Rafia Zakaria
Bloomsbury Academic
The National photo project
Chris Whiteoak, a photographer at The National, spent months taking some of Jacqui Allan's props around the UAE, positioning them perfectly in front of some of the country's most recognisable landmarks. He placed a pirate on Kite Beach, in front of the Burj Al Arab, the Cheshire Cat from Alice in Wonderland at the Burj Khalifa, and brought one of Allan's snails (Freddie, which represents her grandfather) to the Dubai Frame. In Abu Dhabi, a dinosaur went to Al Ain's Jebel Hafeet. And a flamingo was taken all the way to the Hatta Mountains. This special project suitably brings to life the quirky nature of Allan's prop shop (and Allan herself!).
The bio
Favourite vegetable: Broccoli
Favourite food: Seafood
Favourite thing to cook: Duck l'orange
Favourite book: Give and Take by Adam Grant, one of his professors at University of Pennsylvania
Favourite place to travel: Home in Kuwait.
Favourite place in the UAE: Al Qudra lakes
If you go
Flights
Emirates flies from Dubai to Phnom Penh with a stop in Yangon from Dh3,075, and Etihad flies from Abu Dhabi to Phnom Penh with its partner Bangkok Airlines from Dh2,763. These trips take about nine hours each and both include taxes. From there, a road transfer takes at least four hours; airlines including KC Airlines (www.kcairlines.com) offer quick connecting flights from Phnom Penh to Sihanoukville from about $100 (Dh367) return including taxes. Air Asia, Malindo Air and Malaysian Airlines fly direct from Kuala Lumpur to Sihanoukville from $54 each way. Next year, direct flights are due to launch between Bangkok and Sihanoukville, which will cut the journey time by a third.
The stay
Rooms at Alila Villas Koh Russey (www.alilahotels.com/ kohrussey) cost from $385 per night including taxes.
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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
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
The specs
Engine: 4.0-litre flat-six
Torque: 450Nm at 6,100rpm
Transmission: 7-speed PDK auto or 6-speed manual
Fuel economy, combined: 13.8L/100km
On sale: Available to order now
Wicked
Director: Jon M Chu
Stars: Cynthia Erivo, Ariana Grande, Jonathan Bailey
Who has lived at The Bishops Avenue?
- George Sainsbury of the supermarket dynasty, sugar magnate William Park Lyle and actress Dame Gracie Fields were residents in the 1930s when the street was only known as ‘Millionaires’ Row’.
- Then came the international super rich, including the last king of Greece, Constantine II, the Sultan of Brunei and Indian steel magnate Lakshmi Mittal who was at one point ranked the third richest person in the world.
- Turkish tycoon Halis Torprak sold his mansion for £50m in 2008 after spending just two days there. The House of Saud sold 10 properties on the road in 2013 for almost £80m.
- Other residents have included Iraqi businessman Nemir Kirdar, singer Ariana Grande, holiday camp impresario Sir Billy Butlin, businessman Asil Nadir, Paul McCartney’s former wife Heather Mills.
Hunting park to luxury living
- Land was originally the Bishop of London's hunting park, hence the name
- The road was laid out in the mid 19th Century, meandering through woodland and farmland
- Its earliest houses at the turn of the 20th Century were substantial detached properties with extensive grounds
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Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
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Name: Brendalle Belaza
From: Crossing Rubber, Philippines
Arrived in the UAE: 2007
Favourite place in Abu Dhabi: NYUAD campus
Favourite photography style: Street photography
Favourite book: Harry Potter
MATCH INFO
Newcastle United 1 (Carroll 82')
Leicester City 2 (Maddison 55', Tielemans 72')
Man of the match James Maddison (Leicester)