TaxSavvyOM

Final income tax return

Do we file a final income tax return on closure?

The situation

Taxpayers file returns for every period up to cessation.

The law

  • Royal Decree 118/2020 amending the Income Tax Law: Single return within four months of year end from 2020; tax card registration within 60 days of starting business and updates within 30 days
  • Income Tax Law (accounts with the return): Return with audited accounts signed by an auditor registered in Oman, under IFRS

What it means for you

Prepare final accounts to the closure date and file the last return with audited accounts if required. Gains on selling assets during liquidation form part of taxable income at 15 percent.

What to do

  1. Prepare final accounts.
  2. Audit if required.
  3. File the final return on TMS.
  4. Pay any tax due.

We can do this for youLiquidation and deregistration: VAT, tax card and commercial registration: OMR 1,200

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