Saudi Arabia: Tax incentives for entities in logistics bonded zones
Saudi Arabia: Tax incentives for entities
The rules for integrated logistics bonded zones (ILBZ) include tax and customs incentives.
The incentives include:
- A 50-year “tax holiday” that reflects a value added tax (VAT) suspension while under customs suspension
- A zero-rated corporate, income and withholding tax on certain payments
- A 100% suspension of customs and import restrictions
In other news, incentives are being made available to Hajj and Umrah businesses (that is, those businesses involved in pilgrimage activities). The incentives are available for certain private sector establishments and individuals engaged in pilgrimage-related activities in an effort to help them recover from the financial impact of the coronavirus (COVID-19) pandemic.
For more information, contact the head of KPMG’s Global Indirect Tax Services:
Lachlan Wolfers | +852 2685 7791| email@example.com
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