Thursday, September 12, 2024
Saudi Arabia initiates a tax refund program for Tourists
Saudi Arabia has initiated a tourist tax refund program aimed at attracting more tourists and improving its competitive position compared to neighboring Gulf nations. Trending : Children of Illegal Expats can enroll in schools for free in Saudi Arabia
In late August, the Zakat, Customs, and Tax Authority commenced a public consultation regarding proposed amendments to tax regulations.
The modifications aim to enhance compliance to value-added tax (VAT) regulations and offer assistance to specific VAT contributors.
Saudi Arabia does not impose personal income tax, however, excise duties were introduced in the year 2017, and the value-added tax (VAT) was raised to 15 percent in the year 2020, up from 5 percent when first implemented in the year 2018.
The recent implementation of a tourist refund aligns with the suspension of licensing fees for hotels, hotel apartments, and resorts, reflecting the government's strategy to enhance tourism's contribution to gross domestic product (GDP) to 10 percent by the year 2030. Most Viewed : GCC visa to travel across 6 gulf nations
This will establish Saudi Arabia as a popular global tourist destination.
Saudi Arabia seeks to draw 50 million religious tourists each year by the year 2030. Saudi Arabia intends to streamline the registration process for foreign investors beginning in January to enhance its foreign direct investment statistics.
The Capital Markets Authority is evaluating the removal of the 5 percent withholding tax on interest payments to corporate bondholders.
Non-GCC investors in Saudi Arabia are subject to a corporate income tax of 20 percent, which may increase to a minimum of 50 percent for producers in the oil and hydrocarbon sectors. Saudi Expatriates channel is now on Telegram
Saudi Arabia initiates a tax refund program for Tourists - Saudi-Expatriates.com
