Saudi Arabia issues tax guide applied to headquarters of foreign companies

Zakat, Tax and Customs Authority issued a guide to clarify the tax and zakat provisions applied to foreign companies that open regional headquarters in the Kingdom.

The Authority said that the content of this guide does not constitute an amendment to any of the provisions of the laws and regulations in force in the Kingdom. The Authority confirmed its application of the explanatory treatments contained in the guide – wherever applicable – in light of the relevant regulatory texts, and in the event of amending any clarification or content contained in the guide – to an unamended regulatory text – the application of the explanatory treatment Updated refers to transactions that take place after the date Publish the updated version of the guide on the Authority’s website.

This guide aims to reduce, to the minimum possible, any ambiguity facing the regional headquarters in the Kingdom, and it also explains the details of tax and zakat treatment in accordance with the tax and zakat regulations applied in The Kingdom.