GCC Indirect Tax Weekly Digest

July 21, 2022

KSA developments 

Digitalization of Customs compliance and reporting obligations in KSA

As a result of the growth of global trade and increased security threats to the international movement of goods, the Kingdom of Saudi Arabia’s (KSA) Zakat, Tax and Customs Authority (ZATCA) has introduced its Authorized Economic Operator (AEO) program, also referred to as the Awlawia Program.

All commercial entities in the logistics sector are invited to become part of this AEO program, which provides many advantages to approved participants and lowers the costs for international trade.

Deloitte has developed an AEO Scan Tool, a web-based self-assessment solution, to support businesses in taking part and benefiting from this program.

For more information, please access this link.

Deloitte webinar on KSA Tax amnesty now available in English and Arabic

On 1 June 2022, ZATCA announced the relaunch of an amnesty scheme to waive penalties on certain taxes, including Corporate Income Tax (CT), Withholding Tax (WHT), Value Added Tax (VAT), Real Estate Transaction Tax (RETT), and any errors pertaining to e-Invoicing. The period to apply for the relief started on 1 June 2022 and will end on 30 November 2022.

In light of the above, Deloitte held a webinar in both English and Arabic on Wednesday, 22 June 2022 and Thursday, 23 June 2022 where we discussed the following topics:

  • Recent tax developments in KSA
  • What is included under the current Penalty Amnesty scheme and what is not
  • Conditions and procedures to avail from the Amnesty 
  • Other considerations and recommendations 

The recording of this webinar is now available on Deloitte’s website in English and Arabic.

Oman developments

VAT return for Q2 2022 due by end of July 2022

The Oman Tax Authority (OTA), through a reputed newspaper in Oman, has urged all Value Added Tax (VAT) registered businesses to file their VAT return for the second quarter of 2022 by the end of July 2022. 

With VAT having been implemented in Oman for over a year now and the transitional period ending, the OTA in our experience, is adopting a firmer approach to ensure proper VAT compliance. 

It is critical for businesses to adhere to the timelines mentioned in the VAT legislation and ensure that the information/details submitted in VAT returns to the OTA are complete and accurate to avoid any additional tax liabilities and penalties.

This digest is for information purposes only and should not be construed as advice. It does not necessarily cover every aspect of the topics with which it deals. You should not act upon the contents of this alert without receiving formal advice on your particular circumstances.

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