Oman Archives - Page 24 of 32 - LexisNexis Middle East

Oman: Clarity Sought on VAT Impact on Oil and Gas Industry

02/04/202102/04/2021
by Benjamin Filaferro

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.

News developments

Oman: Services Exempt From VAT Announced

26/03/202126/03/2021
by Benjamin Filaferro

Following the issuing of the Implementing Regulations to the VAT Law earlier this month, the services which will be exempt from VAT have been clarified. Oman Decision No. 53/2021 implements Oman Sultani Decree No. 121/2020. Banking and financial services supplied by banks and financial institutions licensed by the Central Bank of Oman or any of the competent authorities will be tax-exempt for VAT purposes or zero-rated for VAT purposes. Healthcare supplies and services provided by licensed medical institutions will also be tax-exempt for VAT purposes or zero-rated for VAT purposes. Services provided by educational institutions licensed by the relevant education authorities in the Sultanate will be tax-exempt for VAT purposes or zero-rated for VAT purposes. VAT will come into force in the Sultanate on 16 April.

News developments

Oman: Labour Ministry Issues Warning

19/03/202119/03/2021
by Benjamin Filaferro

Oman’s Labour Ministry has issued a warning to all private sector companies to benefit from the facilities offered by the Ministry for companies and expatriate employees. It comes ahead of a 31 March 2021 deadline. All employers and employees who want to leave the country should use the time left to comply. The Ministry added no applications will be considered after this date. Foreign employees will be able to leave before 31 March 2021 and all approvals will be cancelled after this.

News developments

Oman: New Industrial City Proposed

05/03/202105/03/2021
by Benjamin Filaferro

Oman’s Public Establishment for Industrial Estates or Madayn has announced it is proposing building a new Industrial City. It will be built at Al Mudhaibi in North Al Sharqiyah Governorate. It will be one of an increasing network of manufacturing clusters which will help boost jobs generation and GDP growth in the Sultanate. They have invited qualified engineering consultancy firms to bid for its contract to design the infrastructure facilities for the 14 million square metre industrial city. It will be the first industrial park of its kind in the governorate and will provide a manufacturing and processing base for industries focused on commercialising the rich mineral potential of the wider region, among other things. The successful bidder will have to master-plan the development of the new industrial city in several stages and design the basic infrastructure and supervise the overall initial development as well. Construction work on a new industrial city at Ibri in Al Dhahirah Governorate, a first in that part of the country is also about to begin. It will be located on the road leading to the Oman-Saudi Arabia border and will include a variety of industrial, commercial and service activities like light and medium industries, commercial area, administrative offices, industrial workshops and warehouses. They are being built and introduced as part of Oman’s 2040 Vision.

News developments

Oman: New Electricity Tariff Will be Applied Gradually

26/02/202126/02/2021
by Benjamin Filaferro

The Executive Director of the Authority for Public Services Regulation has announced the new electricity tariff will be applied gradually. They made the announcement in response to rumours it had been rescinded. The January bill includes the approved tariff in line with the regulations published in December. The approved tariff for the first group is 15 baisas, which will be applied gradually over the year starting with 11 baisas in the first month for electricity consumption up to 2,000 kilowatts.The mechanism for the gradual application of the new tariff is the purview of the National Subsidy System Committee.

News developments

Oman: The Director-General of Disease Control and Surveillance announced a unified Coronavirus health passport will be discussed by GCC health officials next week

26/02/202126/02/2021
by Benjamin Filaferro

The Director-General of Disease Control and Surveillance in Oman has announced a unified Coronavirus health passport will be discussed by GCC health officials next week. Health officials from the GCC countries will discuss it next week. They will also consider travel and movement between GCC countries. It follows the launch of a digital Covid vaccine passport in Bahrain earlier this month. They became one of the first countries in the world to do so. The green COVID-19 Vaccinated shield will be issued to vaccinated people with a username, date of birth, nationality and which vaccine they received. It will help authorities verify the validity of users by scanning a QR code which is linked to a national vaccine register.

News developments

Oman: The Labour Minister has issued a ministerial decision on the Omanisation of certain professions

19/02/202119/02/2021
by Benjamin Filaferro

The Labour Minister has issued a ministerial decision on the Omanisation of certain professions by limiting them to Omani nationals including jobs in the private higher education institutions. The aim is to increase job opportunities for Omani nationals in areas where they are able to be competitive. The decision states that Omani nationals should be appointed in all administrative, financial and other sectors related to admitting and registering students and jobs related to students affairs and services. It was also stressed that the ministry was continuing its search for solutions that boost investment and empowers national manpower.

News developments

Oman: Residence Permits Will Not be Renewed for Drivers From June

12/02/202112/02/2021
by Benjamin Filaferro

Oman’s Labour Ministry has announced residency permits for drivers will not be renewed when they expire. The only exception will be where an applicant provides a valid driving license consistent with the type of profession they occupy. It will be implemented from 1 June 2021 together with the Royal Oman Police.

News developments

Oman: GCC Investors Do Not Need Residence Card

05/02/202105/02/2021
by Benjamin Filaferro

Oman’s Commerce, Industry and Investment Promotion Ministry has confirmed GCC investors do not need a residence card. It follows rumours on social media that GCC citizens need a lease contract and a municipal license to obtain a residence card. The Ministry confirmed GCC citizens are treated the same as Omani citizens. They are working with the Royal Oman Police Directorate-General of Civil Status. The Ministry added they do not ask GCC investors to obtain residence cards to get a commercial registration or facilitate the establishment of a business in the Sultanate.

News developments

Oman: Citizens Will Not Have to Pay for Healthcare Services

29/01/202129/01/2021
by Benjamin Filaferro

Oman’s Health Minister has confirmed citizens will not have to pay for healthcare services. They added the right to healthcare is guaranteed for all citizens. They went on to say there are no plans to start charging citizens for healthcare services. Finally, they said a health insurance proposal has been referred to the Council of Ministers and the Capital Market Authority will be responsible for implementing it.