Oman’s interest in placing in free zones dates decrease by a minimum of a decade. Oman initiated the creation and development of economic free zones and Salalah Free Zone Services with the enactment of Royal Decree 56 of 2002 (concerning the fame quo of free zones in Oman)
Companies operating in such free zones are not a concern of affairs to Omani law requirements.
Furthermore, under the Free Zones Decree, such agencies are exempt from:
- Taxes applicable to on-shore entities in Oman (usually 12% of their profits);
- Community ownership restriction (usually of 30 % of the capital of an entity);
- Provisions of Commercial Agency Law that require a business organization to have a community agent or distributor to bring out the distribution of goods;
- Rules on the repatriation of profits and investments;
- Overseas places overseas exchange rules; and
- Commodities’ import/export custom obligations withinside the free vicinity in question (besides the goods are added out of the free vicinity into Oman or a few other GCC united states while the standard 5% GCC customs obligation will apply).
Free Zones and Special Economic Zones
Oman Free Zone Company Setup beneath the Free Zones and Special Economic Zones in Oman gain from tax exemptions similarly to special business enterprise incentives which encompass allowing 100% overseas places ownership. Currently, Oman has three Free Zones (Salalah Free Zone, Sohar Free Zone, and Al Mazunah Free Zone) and Special Economic Zones (the Duqm Special Economic Zone and Knowledge Oasis Muscat) with the purpose of attracting extraordinary patterns of groups to Oman. Each Zone has its very very own set of incentives.
Salalah Free Zone
The Salalah Free Zone is withinside the south of Oman. Oman Free Zone Company Setup to attract buyers involved in business estate, logistics, tourism, and especially mixed-use developments. The Salalah Free Zone allows for 100% overseas places ownership of agencies similarly to a cushty Omanisation rate of 10%, a 30-12 months tax holiday, and no custom obligations. Additionally, buyers do now no longer need to satisfy a minimum percent capital requirement in an attempt to incorporate there.
Sohar Port and Free Zone
This Free Zone is near the Port of Sohar and the Sohar Industrial Estate. It has been set up to encourage buyers in steel and steel, logistics, and food sectors mainly. However, it moreover allows buyers involved by incorporating agencies with special alternate sports activities to Oman Free Zone Company Setup. Companies incorporated beneath neath the Solar Free Zone are cabin a position to gain from whole exemptions from custom obligations on imports and moreover arent kingdom of affairs to minimum percent capital requirements. However, the percentage capital declared to the Sohar Free Zone withinside the buyers’ software program want to be deposited into the company’s economic group statement. The Omanisation requirement is reduced to 15% for the range one 10 years from the date of incorporation, and Sohar Free Zone agencies can enjoy a 25-12 months tax holiday.
Al Mazunah Free Zone
Al Mazunah Free Zone is withinside the south of Oman, next to Yemen. It seeks to encourage buyers withinside the warehousing, food processing, and business sectors. Similar to the Sohar Free Zone, agencies incorporated in Al Mazunah Free Zone are exempt from custom obligations on imports and no minimum capital requirements. Investors also can additionally moreover enjoy a 30-12 months tax holiday and snug Omanisation costs of 10%. Yemeni nationals are cabin a position to artwork in this Free Zone even as now no longer having to reap a visa or artwork allow.
Duqm Special Economic Zone
Duqm is a world-renowned key hub and a gateway for the Middle East, South Asia, and North and East Africa. It has a port and dry dock similarly to a fishing port, fisheries industries, business estates, logistics, tourism, and special mixed-used developments. Investors can enjoy a snug Omanisation rate of 25%. Additionally, there aren’t any minimum percent capital requirements or custom obligations, and buyers can enjoy a 30-12 months income tax exemption. Investors are also supplied competitive land lease costs withinside the Duqm Special Economic Zone.
Knowledge Oasis Muscat Economic Zone
This Economic Zone seeks to attract buyers wishing to incorporate IT provider agencies in Oman. These buyers are entitled to noticeably reduced Omanisation costs of 25%. Unlike the opportunity Free and Special Economic Zones in Oman, this Knowledge Oasis Muscat Economic Zone has a minimum percent capital requirement of twenty thousand Omani Rials (OMR 20 000).
Conclusion
There are many reasons to head back returned to Oman. For many their first concept may also be the stunning sports activities for visitors, consisting of buying at the Muscat Gold Souk, gambling a walk via Mutrah Corniche or having dinner at Shangri-La Barr Al-Jissah Resort & Spa. There are however in addition stunning business organization opportunities, in particular with the Company formation in Salalah Free Zone described above, whose reason is to allow community and international groups to flourish. For those who want to see their business grow Oman is the best place for business setup( Business Setup in Salalah Free Zone) and enjoy a little peace and the tight-knit ex-pat community.
