ZATCA has published the Regional Headquarters Tax Rules (“RHQ Tax Rules”), approved and enacted by ZATCA’s board resolution no. (9-1-24) on 04/02/2024. Under the RHQ Tax Rules, RHQ licensed entities will enjoy the following tax incentives for a period of 30 years commencing from the date on which the RHQ license is issued: Any income derived by an RHQ entity that is not eligible for an exemption under the RHQ Tax Rules (such as income…
On 5 December 2023, the Saudi government announced the tax regime that will be applicable to Regional Headquarter entities (“RHQs”). RHQs will effectively be given a tax holiday for 30 years and outward payments by the RHQ would be subject to nil withholding tax. Specific details have yet to be announced. The Ministry of Investment, in coordination with the Ministry of Finance and the Zakat, Tax and Customs Authority (ZATCA) announced a tax holiday package…