KPMG Lower Gulf’s Post

The introduction of Personal Income Tax (#PIT) in the Middle East has been a long-debated topic. Will #Oman be the first to implement it? Stay tuned and keep in touch for updates! #Tax #MiddleEast #Oman #PersonalIncomeTax

Maybe I should add Prophetess to my bio🤣 or perhaps Trend Analyst👌. I wrote a piece on this very issue after observing the tax trends in the UAE in particular. While the UAE has typically marketed herself based on "no taxes on personal income" amongst other key benefits, it seems like there could be a move towards personal income tax in the coming years, perhaps 4? The question is would the UAE go this route or would it maintain status quo? There would surely be Cost-Benefit analysis before such a milestone decision is reached.

Majlis A’Shura approves Personal Income Tax bill Majlis A’Shura approved the draft law on Personal Income Tax and forwarded it to the State Council on Thursday completing the legislative cycle of the bill. This was unveiled at the 12th regular session of the shura’s first annual convening of 2023-2024. The shura council is the first line of legislation in Oman and it has to be ratified by the state council. It is in the development stage, and not yet notified. As seen in Bahrain during VAT rate change, the recommendation of the Shura Council, Once it approves, it will be implemented within said time frame. If implemented, Oman could be the first GCC country to implement personal taxes and set precedence for other countries to follow in the medium term. Please share your views on it in comments. #oman #muscat #personalincometax #gcc

Oman is expected to implement its proposed personal income tax on high earners after 2026, according to a new report. Latest on GCC taxes from Megha Merani for AGBI - Arabian Gulf Business Insight

Our Commercial Director, James Swallow, recently spoke with The National about the potential introduction of income tax in Oman. Oman’s decision to push forward with a personal income tax framework could provide a template for other GCC countries and encourage them to consider similar tax reforms. Oman’s Shura Council recently moved the draft law on personal income tax to the State Council, Oman News Agency reported. This decision suggests that legislative momentum is gaining ground towards introducing the tax. If passed, personal income tax will be a first in the GCC region and could affect high-earning foreign workers and wealthy Omani citizens. The proposed tax targets high-income earners, with citizens taxed on net global income above $1 million and foreign nationals on Oman-sourced income above $100,000. The expected reported tax rates range between 5 per cent and 9 per cent for foreign nationals, with a flat rate of 5 per cent for Omanis above the specified threshold. However, the exact rates and further details are still being finalised. https://lnkd.in/dsyn-qdU

The next episode of #Insider features top officials from Oman Tax Authority talking about taxes and how it drive Oman’s sustainable development goals. Stay tuned! Tax Authority of Oman ⁩ #omantax #thearabianstories

Saudi Arabia issues new tax rules for regional headquarters that include tax exemptions for 30 years - Zero income tax - Zero profits tax - Zero withholding tax - Zero VAT - Zero related party tax Message us at RiyadhConsulting if you need help with your journey. #MinistryofInvestment #VisitSaudi #MinistryofCommerce #TourGuideChoice #VisitAlula #Zakat #Saudi #SaudiArabia #RiyadhConsulting #weDoTheJob

Check out Saudi Arabia’s update on tax rules for the Regional Head Quarter (RHQ) Program. Here, we have explained the eligible activities, tax incentives, duration of tax incentives, period of granting incentives, condition of satisfying economic substance requirements, registration, and compliance requirements in an easy-to-understand yet comprehensive way. Nirav Shah | Hemang Agravat | UDIT CHOKSHI | Karishma Killa Bhuwalka #FAME #taxrules #saudiarabia #RegionalHeadQuarter #taxincentives #taxation #taxcompliance #taxupdates #ESR

Personal Income Tax - After Oman, will other GCC countries introduce personal income tax ? Oman is expected to roll out personal income tax, making it the first country in the GCC to do so, some time next year. This comes after the kingdom’s Shura Council advanced the draft law to the State Council. Since the bill is nearing the end of its legislative approvals, it is likely to be introduced in 2025. The initial bill was drafted back in 2020. Analysts expect other Gulf Cooperation Council (GCC) countries to also introduce the personal income tax, however, not in the near future. Oman could be used as a template to launch the tax in other GCC countries. Most expatriates and nationals in Oman, will not be impacted by this new tax regime. Quoting reports, Emirates NBD Research said that foreign nationals will be liable to PIT of 5 per cent to 9 per cent on income from Oman over $100,000. For Omani citizens, the threshold will be orders of magnitude higher at net global income over $1 million, which would be taxed at 5 per cent. source: Khaleej Times

𝐒𝐭𝐚𝐲 𝐮𝐩𝐝𝐚𝐭𝐞𝐝 𝐨𝐧 𝐭𝐚𝐱𝐞𝐬 𝐞𝐯𝐞𝐫𝐲 𝐒𝐮𝐧𝐝𝐚𝐲 𝐰𝐢𝐭𝐡 𝐨𝐮𝐫 𝐥𝐚𝐭𝐞𝐬𝐭 #𝐒𝐔𝐍𝐃𝐀𝐘𝐓𝐀𝐗𝐔𝐏𝐃𝐀𝐓𝐄 𝐈𝐧𝐜𝐨𝐦𝐞 𝐓𝐚𝐱 𝐑𝐞𝐟𝐮𝐧𝐝𝐬: 𝐔𝐧𝐝𝐞𝐫𝐬𝐭𝐚𝐧𝐝𝐢𝐧𝐠 𝐘𝐨𝐮𝐫 𝐑𝐢𝐠𝐡𝐭𝐬 𝐚𝐧𝐝 𝐎𝐩𝐭𝐢𝐨𝐧𝐬 In the Sultanate of Oman, income tax laws are designed to ensure fairness and transparency for all individuals and businesses. It's crucial to have a clear grasp of your tax obligations and rights, and one significant aspect of this framework is the process for handling overpayments of income taxes. 🔍𝐀𝐫𝐭𝐢𝐜𝐥𝐞 𝟏𝟓𝟖: According to prevailing income tax legislation, taxpayers who have paid more income tax than due are eligible to apply for a refund of the excess amount. ✅ 𝐇𝐨𝐰 𝐝𝐨𝐞𝐬 𝐢𝐭 𝐰𝐨𝐫𝐤? The taxpayer has the right to claim a tax refund if the income tax paid for any tax year exceeds the income tax payable as per the final assessment for that year. The application for refund must be submitted to the Tax Authority within five years from the end of the tax year in which the right for a refund arises. 🔍 𝗛𝗼𝘄 𝗖𝗮𝗻 𝗖𝗿𝗼𝘄𝗲 𝗛𝗲𝗹𝗽? ➡ Income Tax Advisory ➡ Document and Reporting Guidance ➡ Private Clarifications with Tax Authority ➡ Data Gathering and Case Scenario Reviews #TaxPlanning #MemberRemuneration #CroweOman #TaxAdvisory #Crowe #croweglobal #oman #muscat #Salalah #sohar #middleeast #GCC #tax #alert #update #VAT