VAT in Oman
Value added tax at a standard rate of 5%, introduced under Royal Decree 121/2020 with effect from April 2021 and administered by the Oman Tax Authority.
Value added tax at a standard rate of 5%, introduced under Royal Decree 121/2020 with effect from April 2021 and administered by the Oman Tax Authority. Registration is mandatory above OMR 38,500 in annual supplies, with zero-rated categories (exports, basic food, medicines, international transport) and exemptions (financial services, residential rent, healthcare, education). Fawtara is the invoicing layer of this VAT system.
Related terms
Browse all →Designated Zone UAE VAT
VAT ComplianceA fenced free zone listed in Cabinet Decision No. 59 of 2017 (such as JAFZA or KIZAD) that is treated as outside the UAE for VAT on goods, subject to customs control and the zone’s conditions.
Oman VAT Return Filing
VAT ComplianceThe periodic declaration of output and input VAT a registered person submits to the OTA through the Tax Portal, quarterly for most taxpayers, with return and payment due within 30 days of the period end.
Reverse Charge KSA
VAT ComplianceThe mechanism under the VAT Implementing Regulations by which a Saudi-registered buyer, not the non-resident supplier, accounts for 15% VAT on imported services and specified cross-border supplies.
Reverse Charge Oman
VAT ComplianceThe mechanism in the Oman VAT Law under which a VAT-registered recipient, rather than a non-resident supplier, accounts for 5% VAT on imported services and goods not taxed at customs.
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