The Oman government amended the investment laws to allow all foreigners, including Pakistanis residing there, to register with 100% property rights.
This was stated by Pakistan’s Ambassador to Oman Ahsan Wagan while addressing a webinar conference held under the auspices of the Pakistani Embassy in Muscat. The webinar was organized on the topic of Value Added Tax Challenges and its Impact on Business in Oman.
Pakistani Ambassador Ahsan Wagan stressed the need for traders and investors to use the new Omani law to register their businesses under their ownership, saying there are some businesses that can be registered under 100% ownership of a foreign national. While some businesses may be registered as 70% owned by foreigners.
He said that Pakistani businessmen who have deep and historical ties with businesses in Oman can take full advantage of this new law and change their employee status to employer, adding value added tax in Oman in a few days. A system is being introduced which requires Pakistani businessmen and women to be more aware so that they can change their documents, invoices and other ways in accordance with the new rules.
Oman is the fourth country to introduce VAT
Addressing the webinar, Abu Bakr Mahmoud, a tax expert and chartered accountant, said that Oman is the fourth member of the GCC to impose Value Added Tax (VAT). Have introduced VAT under an agreed agreement.
He said that it is gratifying that the initial rate of value added tax has been fixed at 5% which is a good move for a conducive business environment. This is being introduced for the first time.
He added that businesses would have to change the format of their documents as only computerized receipts would be acceptable under the new law.