Prior to 1971 the sharia courts had jurisdiction over all civil and criminal matters, as well as personal status affairs in the sultanate of Oman. However, following the succession of Sultan Qaboos bin Said Al Said, the judicial system was reformed and Sharia Courts now only govern matters related to family disputes and inheritance. The 1996 Basic Statute of the State reshaped and codified the legal…
For now, however, income from oil and gas sales accounts for around 70% of total revenue. As such, firming oil prices since 2017 have led to an improved fiscal scenario, and the 2018 budget anticipated that oil and gas revenue would increase by 9%. Oman’s efforts to expand non-oil activity will continue into 2019 through the Tanfeedh initiative and new policies, such as those developing the fram
If planning to establish business operations in Oman, foreign firms and individual investors may do so in one of the following forms: LIMITED LIABILITY COMPANY (LLC): Foreign companies and individuals are generally required to have an Omani partner who holds a minimum of 30% of shares in order to form an LLC. Minimum share capital of OR150,000 ($389,500) is required to register an LLC with…
Interview:Omar Al Sharif Are companies ready to comply with tax reforms? How much more costly may compliance become? OMAR AL SHARIF: Most companies were unprepared for the tax reforms introduced in February 2017, especially the extension of withholding tax to dividends, interest and services. There is much greater awareness now, but many businesses still lack a basic understanding of withholding…
This chapter contains an outline of the tax framework within which local and international firms operate within Oman, including a look at the various models of business open to foreign investors and a breakdown of the new rules set out for Islamic financial transactions. This chapter contains an interview with Omar Al Sharif, Country Senior Partner Oman, PwC.…
Steps towards economic diversification have continued with a renewed focus and are being rolled out at pace. In late 2016 the government launched Tanfeedh, the National Programme for Enhancing Economic Diversification, as a core tenet of the country’s ninth-five-year plan. The programme aims to leverage Oman’s strategic location outside the Gulf to spur growth across five key sectors: manufact
A range of tax regulations exists in Oman and varies according to organisational type and provenance. Corporate Structure Foreign companies and individual investors may establish operations in the sultanate in one of the following forms: Limited liability company (LLC): Foreign companies and individuals are generally required to have an Omani partner with a minimum 30% shareholding in order to form…
A range of tax regulations exists in Oman and varies according to organisational type and provenance. Corporate Structure Foreign companies and individual investors may establish operations in the sultanate in one of the following forms: Limited liability company (LLC): Foreign companies and individuals are generally required to have an Omani partner with a minimum 30% shareholding in order to form…
Decreased revenue flows from oil and gas exports are prompting GCC states to look to diversify their economies and income streams and to consider other forms of taxation with increasing urgency. Oman’s tax authorities are focusing on increasing their tax revenues, and may be seen to be applying the current tax legislation more rigorously than in previous years. There has been much speculation regarding…
