Qatar: Amendment of transfer pricing-related provisions of Income Tax Law for 2018
Provisions relevant to transfer pricing
Income Tax Law for 2018
The State of Qatar on 2 February 2023 issued the Law No. 11 of the year 2022, for the amendment of the Qatar Income Tax Law No. 24 of the year 2018, including certain provisions relevant to transfer pricing.
- A new definition of the arm’s length principle that further aligns to the OECD definition was added to
- Additional transactions with foreign associated enterprises will be covered under Article 33.
The Tax Law of 2022 states that all concerned/relevant parties must implement the law but does not mention an effective date.
The absence of an explicit effective date could imply that the Tax Law of 2022 is applicable with immediate effect (i.e., from the date of its publication in the official gazette). If this is the case, clarification will be needed whether the changes will affect the tax filings of the financial year ending in 2022, which are due in 2023, or the tax filings of the financial years ending 2023.
Read a February 2023 report [PDF 821 KB] prepared by the KPMG member firm in Qatar
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.