UAE removed from Treasury anti-boycott list


Treasury has removed the United Arab Emirates (UAE) from its quarterly “List of Countries Requiring Cooperation With an International Boycott.” The removal of UAE was published on April 8, 2021 (Notice 2021-07244), and is the first change to the list in years.

Treasury is required under Section 999(b)(3) to publish a quarterly list of countries that require or may require participation in or cooperation with an international boycott. U.S. persons that have operations in or related to a boycotting country, or with the government, a company, or a national of a boycotting country may need to file a Form 5713, International Boycott Report. Failure to report this information related to a boycotting country can carry various penalties, such as criminal, financial, and loss of foreign tax attributes.

The list has generally only included certain Arab League nations boycotting Israel. Removal of the UAE follows the formal repeal of the UAE’s boycott of Israel in August 2020 and the subsequent actions that the UAE government has taken to implement the new policy.



Tax professional standards statement

This content supports Grant Thornton LLP’s marketing of professional services and is not written tax advice directed at the particular facts and circumstances of any person. If you are interested in the topics presented herein, we encourage you to contact us or an independent tax professional to discuss their potential application to your particular situation. Nothing herein shall be construed as imposing a limitation on any person from disclosing the tax treatment or tax structure of any matter addressed herein. To the extent this content may be considered to contain written tax advice, any written advice contained in, forwarded with or attached to this content is not intended by Grant Thornton LLP to be used, and cannot be used, by any person for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code.

The information contained herein is general in nature and is based on authorities that are subject to change. It is not, and should not be construed as, accounting, legal or tax advice provided by Grant Thornton LLP to the reader. This material may not be applicable to, or suitable for, the reader’s specific circumstances or needs and may require consideration of tax and nontax factors not described herein. Contact Grant Thornton LLP or other tax professionals prior to taking any action based upon this information. Changes in tax laws or other factors could affect, on a prospective or retroactive basis, the information contained herein; Grant Thornton LLP assumes no obligation to inform the reader of any such changes. All references to “Section,” “Sec.,” or “§” refer to the Internal Revenue Code of 1986, as amended.


More tax hot topics