In brief

On 4 May 2021, the Saudi Council of Ministers, chaired by King Salman bin Abdulaziz, approved the merging of the General Authority of Zakat and Tax (GAZT) and the General Authority of Customs (GAC) to form the Zakat, Tax and Customs Authority (ZTCA).

In detail

As part of its continued effort to restructure and optimize government agencies, the Saudi Council of Ministers announced on 4 May 2021 the merger of two government organizations: GAZT and GAC. The two will now be under one umbrella authority called the Zakat, Tax and Customs Authority (ZTCA), which remains organizationally tied to the Ministry of Finance and will be headquartered in Riyadh.

This move will improve the authority’s tax and customs procedures, as well as enhance security, business, and trade exchanges in line with international practices and Saudi Vision 2030.

The Council of Ministers’ decision was published in the official gazette along with the regulations of the new ZTCA, which now replace the GAZT and GAC regulations. The approved regulations include the scope of work of the new merged authority as well as the composition and role of its Board of Governors and of its Governor.

The regulations have come in effect on the date of publication in the official newspaper on 14 May 2021. However, for the time being, the financial and administrative regulations of GAZT and GAC will continue to be applied with regards to their employees until such a time as the Board of Governors of the ZTCA approves transitional provisions.

We shall keep you up to date on any further developments. In the meantime, our teams are available to discuss the merger and its impact on your business.

Get in Touch

Riyadh Office

Abdulaziz Alnaim

Acting Head of Tax

E: aalnaim@kpmg.com

Nick Soverall

Senior Director, Head of Indirect Tax

E: nsoverall@kpmg.com

Peter Bourke

Senior Director, M&A/ Int’l Tax

E: peterbourke@kpmg.com

Mohamed Araji

Senior Director, FS/ Tax Reimagined

E: maraji@kpmg.com

Ali Sainudheen

Senior Director, Domestic Tax

E: asainudheen@kpmg.com

Stefan El Khouri

Senior Director, Head of Transfer Pricing

E: selkhouri@kpmg.com

Raza Qadir

Senior Director,

Corporate Tax and Advisory lead

GCMS and inbound compliance lead

E: razaqadir@kpmg.com

Oleg Shmal

Director, Indirect Tax

E: oshmal@kpmg.com

Faisal Tanvir

Director, Domestic Tax

E: FTanvir@kpmg.com

Saber Al Zawaideh

Director,  Domestic Tax

E: salzawaideh@kpmg.com

   

Jeddah Office

Mohamed ElSwefy

Senior Director, Family Office & Private Clients

E: mohamedelswefy@kpmg.com

Salam Eido

Director, Indirect Tax

E: seido@kpmg.com

Muhammad Masood

Director, Domestic Tax

E: muhammadmasood@kpmg.com

Khobar Office

Tareq Al Sunaid

Partner, Head of Domestic Tax

E: talsunaid@kpmg.com

Mohammad Kamran Sial

Senior Director, Domestic Tax

E: ksial@kpmg.com

Anil Bahl

Director, Indirect Tax

E: anilbahl@kpmg.com

Mohamed Gouda

Director, Domestic Tax

E: mohamedgouda@kpmg.com