Oman VAT 16 April 2021
Oman introduced Value Added Tax from 16 April 2021. Key features of the regime include:
VAT registration
Businesses are able to apply for a VAT registration threshold from 1 February 2021.
VAT registration threshold
The mandatory VAT registration threshold is OMR 38,500. However it is possible to apply for a voluntary registration above OMR 19,250. The threshold is based on annual sales for the rolling preceding 12 months.
Non-resident businesses making taxable supplies in Oman must VAT register.
VAT invoices
The following minimum information must be included in a VAT invoice. There is also an option for a simplified invoice
- Supplier name, address and VAT identification number (VATIN)
- “Tax Invoice” clearly indicated on the invoice
- Date of invoice
- Date of taxable supply of goods or services
- A unique sequential invoice numbers
- Customer details – name and address
- Details of supply – quantity of goods etc
- Gross value of supply in OMR
- VAT calculation
- Net value of supply
Zero rated supplies:
Certain supplies will be zero rated for VAT:
- Exports of goods or services
- Certain financial services
- Education
Exempt supplies:
Certain supplies will be exempted including:
- basic foodstuffs;
- rent;
- healthcare;
- public education;
Oman would be the fourth of six Arab Gulf states to introduce VAT as part of a 2016 VAT union agreement.
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