Sanjoor Al Zadjali, chief of Central Bank of Oman (CBO) cleared the minds of thousands of expats living in Oman he said that Expat remittances will not be taxed. Also on the legal side IMF International Monetary Fund has agreement with Oman which not allowed to put any restriction on transfers and payments classified as current international transactions.
Most of the countries Even Saudi Arabia didn’t imposed Remittance tax despite that in Oman expatriate income increases by 1.1% which 2.13 billion omani rials.
Sanjoor Al Zadjali also said that expatriates workers really helps oman to produce and manufacture goods for exports as well as in building of mega projects.
According to statistics expatriates in Oman remit almost 3 billion Omani rials every years if the tax is implemented Oman Goverment will bring up 62 Million rial in their revenue.
Ahmad Al Beloushi an economic expert told to gulf news that imposing taxes on remittances of expats mostly affects low income workers in Oman. Also this is not a good time as Oman is looking forward to develop mega projects and attract more investment in Oman.
Low oil prices not only effects biggest producers like Saudi Arabia but also Oman due to which Omani Government is cutting subsidies to fill the budget deficit.
Such as in July Ministry of Finance said that special tracking devices installs on Government vehicle to cut the extra usage of Vehicle.