His Majesty Sultan Qaboos bin Said issued two Royal Decrees—Royal Decree Nos. 66/2019 and 70/2019 (RDs) on 14 October, both related to establishing a new structure for the tax authority, which will now be referred to as the Tax Institution.
The RDs were made effective from 14 October 2019.
Royal Decree 70/2019 appointed H.E. Sultan bin Salim bin Said Al Habsi (Deputy Chairman of the Board of Governors of the Central Bank of Oman) Head of the Tax Institution.
RD 66/2019, relating to the Tax Institution, provides for the following:
All communications with the tax authorities shall now be addressed to the Tax Institution.
This reform provides autonomy to the Tax Institution and may enable timely tax policy changes, such as formalizing local legislation for the Common Reporting Standard (CRS), signing up to the automatic exchange of information with other countries and implementing minimum Base Erosion and Profit Shifting (BEPS) standards. Given requirements, such tax policies should assist Oman to be excluded from the current EU blacklist. The Tax Institution is also likely to focus on the implementation of value added tax in the second half of 2020.
Please reach out to the contacts below for further details on the Royal Decrees.