Qatar is rich in oil and natural gas resources. The proven crude oil reserves account for 1.5% of the world's crude oil reserves, and the natural gas reserves rank third in the world, second only to Russia and Iran. Oil, natural gas and related petrochemical industries are the pillar industries in Qatar, and their output value accounts for more than 50% of Qatar's GDP for a long time. In 2020, the per capita GDP of Qatar residents (including foreigners who have lived for more than 1 year) will be 55,000 US dollars, ranking among the top in the world.
The 22nd World Cup is being held in Qatar, which has become the focus of world attention.
The oil and gas industry is the economic pillar of Qatar, but in recent years Qatar has been promoting economic diversification. In 2008, Qatar's National Vision Plan 2030 mentioned that it is necessary to gradually reduce dependence on the oil and gas industry and strengthen the role of the private sector. In recent years, the average growth rate of Qatar's non-oil and gas economy has gradually accelerated, which is higher than the overall economic growth rate, and the proportion of oil and gas industry revenue in GDP has gradually declined.
According to the 2020 Tax Report jointly published by the World Bank and PricewaterhouseCoopers, among the 189 economies selected in the report, Qatar ranks third with an overall tax rate of 1 1.3%, an average tax frequency of five times a year and a tax compliance time of 4 1 hour. The continuous improvement of Qatar's business environment has attracted many China enterprises to invest in Qatar. However, when China enterprises "go global", they need to know more about local tax policies.
0 1
The tax system is relatively simple.
Qatar's tax system is relatively simple, and the main taxes are corporate income tax, personal income tax, customs duties and consumption tax.
Both resident enterprises and non-resident enterprises in Qatar should pay enterprise income tax on the income generated by their business activities in Qatar. Non-resident enterprises with permanent establishment have the same tax obligation as resident enterprises, while non-resident enterprises without permanent establishment are required to pay 10% withholding income tax according to regulations. The tax rate of 35% is applicable to the income from oil and gas business and projects related to petrochemical business.
Qatar has not promulgated a separate personal income tax law, and all the tax provisions on personal income are implemented within the framework of the income tax law and its implementation rules. Qatar does not levy personal income tax on wages and salaries, but it does levy personal income tax on commercial or professional business activities, royalties, Qatari movable and immovable property income and capital gains generated by commercial operations. The tax rate is 10%.
Qatar's consumption tax system is consistent with the consumption tax system agreed by GCC countries. The applicable tax rate for tobacco and tobacco derivatives is 100%, the applicable tax rate for carbonated drinks is 50%, the applicable tax rate for functional drinks is 100%, and the applicable tax rate for other special-purpose commodities is 100%.
Qatar does not levy value-added tax. At the Arab Financial Forum held in February 20 16, the Gulf countries have reached an agreement on the collection of value-added tax, which will be set at the standard tax rate of 5% and the zero tax rate, but it has not yet been implemented, and the specific collection date has not yet been determined.
Qatar financial center applies special tax management systems and regulations. In Qatar Financial Center, tax revenue is mainly managed according to the tax laws and regulations of Qatar Financial Center and the tax operation guide of Qatar Financial Center Authority. Qatar financial center enterprises pay taxes on taxable income originating in Qatar, and the basic tax rate is 10%.
02
Tax policy attracts foreign investment.
The Qatari government has made great efforts to attract foreign investment. Before 20 19, foreign investors mainly invested in establishing joint ventures or joint-stock operations in Qatar, and the proportion of foreign investors' investment shall not exceed 49% of the total investment. Foreign natural persons cannot directly invest or undertake engineering contracting projects in the local area, but must establish joint ventures in the local area. In recent years, the Qatari government has relaxed restrictions on foreign investment.
Qatar stipulated in Decree No.200 1/2000. 1 of 20 19 foreign investors can enjoy exemption from enterprise income tax (maximum 10 year), exemption from customs duties on imported machinery and equipment for engineering, and exemption from customs duties on imported raw materials and semi-finished products required by manufacturing industry and not available in Qatar local market.
Qatar has two free trade zones, namely, the International Airport Free Trade Zone and the Port Hamad Free Trade Zone. FTZ's enterprises allow foreign investors to hold 65,438+000% of its shares, and they can also enjoy a 20-year tax exemption period for corporate income tax, personal income tax and customs duties. In addition, foreign companies operating in Qatar Free Trade Zone can also enjoy a series of safeguard policies such as no capital circulation restrictions, limited liability company system, bilateral tax treaties applicable to more than 65 countries, data and intellectual property protection.
Qatar also has two special economic zones, namely Qatar Financial Center and Qatar Science and Technology Park. According to the legal system of Qatar Financial Center, registered funds, special investment funds, special fund companies, innovative risk control institutions, listed enterprises in Qatar and charities can enjoy special tax exemption except general tax exemption items. Licensed projects established in Qatar Science Park can be exempted from enterprise income tax indefinitely, and imported goods and services are exempted from customs duties.
03
Pay attention to the particularity of tax system
In recent years, China-Qatar economic and trade cooperation has maintained a rapid development momentum. China has become Qatar's largest trading partner since 2020, and Qatar is also an important natural gas partner of China. Qatar 2022 FIFA World Cup is a microcosm of the rapid development of China-Arab economic and trade cooperation. "Made in China" can be seen everywhere in the stadium: the Lusel Stadium built by China Railway Construction, the commodity market around the World Cup occupied by "Made in Yiwu", the dedicated pure electric bus supplied by China car companies, the Alcazar photovoltaic power station built by China, the lawn irrigation and maintenance technology provided by Ningxia University, and the audio and video system competition service provided by Zhou Ming Technology. ...
Data show that in 20021year, the bilateral trade volume between China and Qatar was1765438+700 million USD, up 57% year-on-year; In the first half of this year, the bilateral trade volume between China and Qatar reached US$ 654.38+0.283 billion, a year-on-year increase of 765.438+0%.
Facing the increasingly close economic and trade relations between China and Qatar, China's investment enterprises in Qatar should fully understand Qatar's investment policies and avoid tax risks while grasping investment opportunities.
First, we should avoid the "impossible" areas of investment in Qatar. 20 19 In the newly revised Foreign Investment Law of Qatar, although the proportion of foreign investment has been liberalized, the clauses prohibiting foreign investors from investing in Qatar's banking, insurance, business agency and real estate industry have been retained.
Second, we should pay attention to the special tax regulations of Qatar Financial Center. For example, on the issue of capital weakening, it is usually stipulated that related party loans should not exceed 3 times the owner's equity, and the part of loans used for taxpayers' daily operations can be deducted from interest expenses. However, in Qatar Financial Center, interest expenses with the proportion of creditor's rights between related parties and borrowers not exceeding a certain proportion can be deducted, and the excess cannot be deducted. This ratio is 4: 1 for financial institutions and 2: 1 for non-financial institutions.
The third is to predict "uncertainty". When Qatari resident taxpayers pay money to non-resident taxpayer, withholding tax shall be deducted from the remittance, and non-resident taxpayer may apply for tax refund according to the applicable bilateral tax treaties. It takes a long time to apply for tax refund, generally around 1 year, and there are cases where the tax refund application has not been completed for 2 years. Investment enterprises in China should leave enough space in capital planning so as not to affect the normal operation of enterprises. (Author: No.1 Inspection Bureau of Changsha Municipal Taxation Bureau, State Taxation Administration of The People's Republic of China, People's Republic of China (PRC); People's Republic of China (PRC) State Taxation Bureau Xiangtan High-tech Industrial Development Zone Taxation Bureau; School of Economics and Trade, Hunan University)