Qatar: Country-by-country notification and reporting requirements
Qatar: CbC notification and reporting requirements
The Ministry of Finance issued Ministerial Decision no. 16 of 2019 regarding the country-by-country (CbC) reporting requirements in Qatar.
The 2019 ministerial decision replaces the Ministerial Decision no. 21 of 2018 and includes the following guidelines for CbC reporting.
CbC reporting requirements
Entities that meet the following conditions are required to file their CbC notifications and CbC reports in Qatar:
- Entities resident in Qatar for tax purposes
- “Ultimate parent entities” of multinational enterprise (MNE) groups
- Total revenue of the MNE group is at least QAR 3 billion (approximately €700 million or U.S. $824 million) in the preceding financial year based on consolidated financial statements of that preceding year
Reporting period, due date, format
Only ultimate parent entities that are tax residents in Qatar are required to file a CbC notification and CbC report.
- The CbC notification must be in the format prescribed by Circular no. 6 of 2018. The CbC notification is to be filed with the general tax authority within the reporting financial period of the MNE group. Accordingly, CbC notifications for the financial years ending 31 December 2018 and 31 December 2019 are due by 31 December 2019.
- The CbC report is to be filed with the general tax authority within 12 months from the last day of the reporting financial period of the MNE group. Accordingly, the CbC report for the financial year ending 31 December 2018 is due by 31 December 2019.
- The CbC report must include the information described in the model CbC report pursuant to the OECD’s Action 13 final report.
- The CbC report must be submitted using the XML schema format (per the guidance provided by the OECD).
- Qatar’s tax authority is to announce what is the electronic link for submission of the CbC report.
Penalties for non-compliance
There are penalties for non-compliance with CbC reporting obligations:
- A penalty of QAR 100 for each day when there is a failure to submit a timely CbC notification or when the submission includes false or incomplete information
- A penalty of QAR 500 for each day when there is a failure to submit a timely CbC report or when the submission includes false or incomplete information in the report
MCAA implications
As of September 2019, Qatar has signed Multilateral Competent Authority Agreements (MCAAs) for the automatic exchange of information with 56 countries. Accordingly, an MNE group with operations in a country (other than the countries with existing MCAA) will need to consider that their reporting obligations are satisfied with the other signatory country.
Read a September 2019 report [PDF 69 KB] prepared by the KPMG member firm in Qatar
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