Our Office has an experience of drafting and reviewing commercial contracts and provide all legal services and consulting, our services includes:
- Commercial concession contracts (franchise contracts)
- Commercial distribution contracts
- Establishing and registration of commercial agencies, licensing contracts using trademarks or patents,
- Contracts for participation in respect of foreign investment.
- Registration and protection of trademarks and patents, with all necessary procedures.
We provide consultancies for corporates, companies, firms …etc. Our services includes but are not limited to:
- Frame and review of transfer assets and/or shares agreement, andor reorganization.
- Legal restructuring, corporate governance Compliance and internal policies, legal due diligence.
Income Tax
A Foreign partner or shareholder in a resident Saudi company and a non-resident who does business in Saudi Arabia through a permanent establishment are subject to corporate tax income rate on income and realized capital gains.
Registration of a company or branch with the General Authority for Zakat and Income Tax (GAZT) is mandatory.
The rate of tax is generally 20% on net profits except for some specified businesses.
Zakat
Saudi and GCC nationals in corporate structures are subject to a religious levy (Zakat) of 2.5% that is derived from what is known as the “Zakat-able Base”, a rather complex formula linked to the number of shares of the company and other values.
Saudi Arabian Tax Law does not distinguish between different categories of income. Capital gains are treated as ordinary income.
Customs Duty
Rates of duty vary depending on the type and quantity of the commodity.
Most basic consumer products are duty free.
Withholding Tax
Withholding tax is levied at rates between 5% (dividends, interest, certain service fees, branch remittances abroad) and 15% (royalties and certain service fee payments to related parties) paid to non-residents, subject to the provisions of any applicable double taxation treaty.
Value Added Tax (VAT)
In line with the other GCC countries, in April 2017, Saudi Arabia approved the introduction in 2018 of value added tax at 5%.