Oman looks to introduce personal income tax on high-earners
The move would make the sultanate the first member of the GCC to take such a step
Oman is pushing forward with plans to impose a personal income tax on high-earning citizens and expats that would make it the first member of the GCC to take such a step.
The proposal, which has been floated by the government for more than a decade, was recently presented for consideration to the State Council, The National reports.
Introducing a personal income tax is in line with the country’s efforts to diversify its revenue streams and reduce its dependence on oil. If enacted, the tax would probably apply to citizens with net global income of $1 million or more and foreign nationals on Oman-sourced income above $100,000.
The proposed tax rates range between 5% to 9% for foreign nationals and a flat rate of 5% for Omanis.
The UAE and Saudi Arabia have refrained from taxing individuals to make their countries more attractive to international companies and candidates for skilled jobs.