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November 1994 Volume 1 Number 10

Oman Imposes Income Tax on Foreign Workers


Oman is the first oil-rich country to levy an income tax on foreign workers in an effort to increase government revenues. Under new legislation, companies will be taxed according to the number of foreigners they employ, and Omani citizens will pay taxes for domestic workers.

Foreigners earning between US$2,684 and US$3,159 per year will pay taxes equivalent to six percent of their earnings, and those earning more than US $3,159 will pay seven percent. Companies will pay US$158 per year for each foreign worker they employ, and employers of foreign maids will pay US$408 for one worker and an additional US$316 for the second worker. A tax of US$526 will be levied on each foreign driver.


"Oman imposes income tax on foreign workers," Xinhua News Service, October 4, 1994.
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