Monday, June 13, 2016
NO TAX ON REMITTANCES OF EXPATS
Authorities of Saudi Arabia announced there will be no remittance tax on expatriates for sending money to there home country, It was just a proposal of 6% remittance tax, which was not approved. Similarly there will be no income tax on individuals whether they are Saudi citizens or expatriates living in the Kingdom of Saudi Arabia. We also clearly mentioned in our earlier article and in comments on that article that "it was just proposal from Shoura council". Recommended : Home Remittance
Finance Minister Ibrahim Al Assaf in his statement denied the report of 6% remittance tax on expatriates and income tax on individuals, It was just a part of the proposal which was denied. He said the above remarks in a press conference while discussing Ministry's role in National Transformation Plan. Similar : Remittance Tax in Saudi
- According to the World Bank, Saudi Arabia became second country in the world for sending highest remittances of 42$ billion after United States. Read Also : Overseas Remittances
- Only two types of taxes are approved in the GCC level, Value Added Tax (VAT) and Sin Tax, which will be expected to introduce in the year 2018 in all GCC States including Saudi Arabia. Related : VAT & SIN Tax in Saudi Arabia
- The proposal of remittance tax on expatriates was 6% for the first year and then gradually decrease to 2% till the fifth year. This topic became popular in Social Media and Expatriates started commenting on this specific topic without knowing its only a Shoura proposal. You May Also Like : Remit The Payment
- Saudi Labor Minister Mufrej Al Haqbani said their is no strategic plan to reduce the number of expatriates workers in the kingdom, However there is a plan to improve the employment for Saudi citizens as part of Saudization. Next : Remittance to India
