Taxes across the Gulf: VAT, income tax and what expats actually pay
A side-by-side look at VAT rates, corporate tax and the new personal income tax in Oman.
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In short
No Gulf country taxes employees’ salaries today. The main taxes you will meet are VAT (5% to 15%), corporate tax for businesses, and fees on residence, housing and services.
- Income tax
- 0% across the GCC
- VAT
- UAE, Oman, Bahrain 5–10%, Saudi 15%, Qatar & Kuwait none
- Corporate tax
- UAE 9%, Saudi 20%, Qatar 10%, Oman 15%
- Home country
- You may still owe tax there
Step by step
Tick each step as you finish it. Open a step to see what to do.
Many countries tax you until you formally leave. US citizens always file.
Before moving
Documents checklist
Do’s and don’ts
Do
- Speak to a tax adviser in your home country
- Keep proof of Gulf residence
Don’t
- Don’t assume zero tax at home
Cost estimator
Untick what doesn't apply to you. These are rough figures and fees change often, so check with the authority.
Watch out
- Oman has announced personal income tax for high earners from 2028.
Common questions
Do I pay tax on savings?
Not in the Gulf. Your home country may tax foreign interest or gains.
Official links
Background and more detail
Personal income tax
None of the six GCC countries currently taxes employment income. Oman has announced a personal income tax on high earners from 2028.
VAT
| Country | VAT | | --- | --- | | Saudi Arabia | 15% | | Bahrain | 10% | | UAE | 5% | | Oman | 5% | | Qatar | none | | Kuwait | none |
Corporate tax
The UAE introduced a 9% corporate tax in 2023 on profits above AED 375,000. Saudi Arabia applies Zakat to Saudi and GCC-owned shares and income tax to foreign-owned shares. Bahrain and others have introduced a minimum tax for large multinationals.
Your home country
Many countries tax residents on worldwide income. Moving to the Gulf does not automatically end your tax residency at home. Check the rules and any double tax treaty.
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