This week the spotlight is on tax developments in the GCC and wider Middle East, where Saudi Arabia has confirmed no income tax will be imposed on individuals and corporation tax will not be imposed on institutions this side of 2020. The confirmation follows previous comments in 2016 suggesting there were no plans to introduce income, property or commodities taxes as part of the Saudi Vision 2030. A 50% tax on soft drinks and 100% tax on tobacco and energy drinks will be introduced by June 2017. Elsewhere, an expatriate levy which will have to be paid by sponsors by September 2017 and will have to be paid for each expatriate employee. The fee will rise to 800 Riyals by 2020. It has also been confirmed VAT will stay at 5% until 2020.
Meanwhile in Jordan, Jordanian taxpayers who do not submit their 2016 tax returns by 30 April will be fined it has been announced. The fines will be between 100 and 500 Dinars. A weekly fine of 4,000 Dinars will also be applied. Tax returns can be filed online.