corporate income tax in oman

Corporate Income Tax in Oman: A Complete Guide for Businesses (2025)

If you operate a company in Oman, understanding the corporate income tax system is essential for legal compliance, financial planning, and sustainable growth. Whether you’re a local LLC, a foreign company, or a branch of a multinational, this guide covers everything you need to know about corporate income tax in Oman in 2025.

📊 What is Corporate Income Tax in Oman?

Corporate income tax in Oman is a direct tax imposed on the net income of companies and businesses operating in the country. It applies to both resident and certain non-resident entities earning income from Omani sources.

Oman follows a territorial taxation system, which means only income generated within the country is subject to tax, not global income.

💰 Current Corporate Tax Rates in Oman (2025)

As of the latest updates:

• ✅ 0% – For Omani-owned sole proprietorships and small businesses with gross income up to OMR 30,000

• ✅ 15% – Standard rate for most companies (LLCs, foreign branches, etc.)

• ✅ 55% – Applicable only to petroleum companies (oil and gas sector)

Note: There’s no personal income tax in Oman, making it attractive for expatriates and foreign investors.

📝 Who Should File Corporate Tax in Oman?

The following entities are required to register and file corporate tax returns:

• LLCs (Limited Liability Companies)

• Joint-stock companies

• Foreign companies with a permanent establishment in Oman

• Branches of international companies

• Partnerships earning income above the exempt threshold

📅 Filing Deadlines & Compliance

Businesses in Oman must:

• Submit a provisional return within 3 months of the end of the accounting year

• File a final tax return within 6 months

• Maintain audited financial statements (for larger firms)

Late filing or non-compliance can result in penalties and legal action by the Oman Tax Authority.

✅ Corporate Tax Exemptions and Incentives

Certain sectors benefit from tax exemptions or reductions under Oman’s economic diversification initiatives:

• Tourism

• Industrial/manufacturing businesses

• Agriculture and fisheries

• Approved free zone businesses (e.g., Salalah, Sohar, Duqm)

Always consult a tax expert to check if your company qualifies for corporate income tax relief in Oman.

📌 Need Help with Corporate Tax Filing?

Managing tax filings can be complex, especially for new or foreign businesses. Our team at The Certified Point offers expert support for:

• Corporate tax registration

• Filing and compliance

• VAT and payroll tax management

• Strategic tax planning

👉 Explore our business consulting & tax services
👉 Contact our certified tax experts in Oman

🌍 Final Thoughts

Understanding corporate income tax in Oman is vital for avoiding penalties and running a compliant, tax-efficient business. With the right guidance and up-to-date knowledge, you can navigate the Omani tax system with ease and confidence.