The oil and gas industry in Oman is awaiting clarity on the impact of VAT on them. Upstream and midstream activities are zero-rated for VAT purposes. Downstream activities are likely to be taxed at the standard rated of 5%. This includes refining and petrochemicals. These expectations are based on the provisions of the Implementing Regulations to the VAT Law. The Regulations to Oman Sultani Decree No. 121/2020 were issued in Oman Decision No. 53/2021.