Oman does not impose a personal income tax. However, companies, irrespective of the extent of foreign ownership, are taxed at a single rate of 15 per cent for income exceeding OMR30 000.

Withholding Taxes

A 10 per cent withholding tax is applied at source to payments for the following services to foreign persons that do not have income attributed to a permanent establishment in Oman:

  • royalties.
  • management fees.
  • consideration for research and development; and
  • consideration for the use of or right to use computer software.

The tax rate for companies engaged in petroleum exploration is 55 per cent on income derived from the sale of petroleum products.