FAQ’s: Business in Oman
Frequently Asked Questions: Business in Oman
1) What are the procedures for obtaining statutory licenses/ permits?
All business should obtain the following 3 basic statutory permits/ licenses:
- Commercial Registration from the Ministry of Commerce and Industry (Validity: 5 years)
- Registration with Chamber of Commerce and Industry (Validity: 1 year)
- License from Muscat Municipality / Regional Municipalities (Validity: 1 year)
Other licenses maybe required depending on the nature of the business.
2) What is the Omani customs duty on imported commodities?
Gulf Cooperation Council (GCC) member countries have implemented a customs union by where most goods entering from outside the GCC would be subjected to a 5% customs duty across the GCC region instead of earlier country specific import tariff.
3) What are the customs entry points that should be considered as First Entry Points for foreign goods?
- Port Sultan Qaboos
- Seeb International Airport
- Salalah International Airport
- Al Mazouna Land- Border crossing
- Sarfeet Land- Border crossing
- Port of Sohar
- Port of Salalah
- Shinas Seaport
- Sur Seaport
- Post Offices
4) Is there personal/ sales income tax in Oman?
There is no personal tax. Income taxes are levied only on the income of a company or an establishment. There is value added tax (VAT) at a standard rate of 5% on goods and services with specific exemptions and zero ratings prescribed under Oman VAT law. Also, hotels and restaurants charge an additional 17% tax rate (5% municipality tax, 4% tourism tax and 8% service charge).
5) How do I register my company with the Tender Board?
Contact:
Director General
Tender Board
P.O. Box 787, Postal Code 133, Muscat
Phone: +968 24402200 or 24602063 or 24402402
Fax: +968 24402404
Website: Tender board Oman
Companies can register with the Tender Board under the following four categories depending on their activities:
- Contractors
- Consultancy Offices and Companies
- Supplies or Supply Companies
- Training Institutes.
Companies should fulfill the following:
- Registration with the Ministry of Commerce and Industry
- Registration with Oman Chamber of Commerce and Industry
- Fulfillment of all the regulations of the Tender Board