Incentives in Duqm
Recent Tax DevelopmentsRoyal Decree 70/2024 on 31 December 2024 that introduces a Top-up TaxSource: PwC Worldwide Tax Summaries
Free Zone: Duqm SEZ100% foreign ownership; no currency restrictions; no minimum capital requirement; tax exemption up to 30 years from the date of commencement of operations, renewable for a further 30 years; 100% repatriation of capital and profit; usufruct agreements up to 50 years, renewable for similar periodsSource: OPAZ — Special Economic Zone at Duqm
| Corporate Income Tax | 15% standard; 3% for qualifying SMEs; 55% oil and gas Source: PwC Worldwide Tax Summaries |
|---|---|
| Personal Income Tax | None until 2028; then 5% on income above OMR 42000/year Source: PwC Worldwide Tax Summaries |
| VAT | 5% (since April 2021) Source: PwC Worldwide Tax Summaries |
| Withholding Tax | 10% on services royalties interest to non-residents Source: Oman Tax Authority |
| Recent Tax Developments | Oman becomes the first GCC state to introduce personal income tax — 5% on annual income above OMR 42,000 from 1 January 2028. It has adopted the OECD Income Inclusion Rule and has 37 tax treaties. Source: PwC Worldwide Tax Summaries |
| Free Zone: Duqm SEZ | 30-year corporate tax exemption (renewable +30); no customs duties; no minimum capital; 100% foreign ownership; Omanisation 25%; LARGEST SEZ IN MENA (2000 sq km); deep-water port + dry dock; outside Strait of Hormuz Source: OPAZ (Public Authority for SEZs and Free Zones) — RD 38/2025 |