On 9 November 2023, His Majesty Sultan Haitham bin Tarik issued Royal Decree No. 80/2023 (RD 80/23) granting the Minister of Finance powers to allow tax exemptions, amongst other laws, under the following:
- Oman Income Tax Law promulgated by Royal Decree 28/2009
- Oman Excise Tax Law promulgated by Royal Decree 23/2019
- Oman Value Added Tax Law promulgated by Royal Decree 121/2020
RD 80/23 is effective from the date of its issuance, i.e. 9 November 2023.
The tax legislation mentioned above allows taxpayers various exemptions, subject to the satisfaction of specified conditions and approval of the Oman Tax Authority (OTA). Currently, an application for such exemptions is required to be filed either directly with the OTA or with specified authorities who (after review) forward these for final approval to the OTA. With the issuance of RD 80/23, taxpayers who have already filed applications that are pending disposal, as well as those planning to apply, should consult the respective authorities to understand the new application/decision process.
KPMG has a dedicated team of experienced tax specialists based in Oman. If you need assistance in evaluating the eligibility for exemptions, applying for exemptions, or any other tax matters, please reach out to your advisors at KPMG or the contacts mentioned below.