Posted by : Aahil Shaik Mar 21, 2017
A NEW PROPOSAL "EXPATRIATES CAN INVEST & BECOME SELF SPONSORS"
The Kingdom of Saudi Arabia is heading towards a new program in which expatriates can sponsor themselves without involving any Saudi national as their sponsor, If they invest in Saudi Arabia and pay a annual tax of 20 percent. Trending : 3 Months of amnesty period for illegals in KSA
This new proposal is not yet approved, but it is in study from relevant authorities, This proposal allows expatriates to invest in Saudi Arabia and become self sponsor on paying annual tax of any of the two types.
- First type of tax is on regular accounts, In which expatriate will pay on revenues, costs and gains. Related : Riyadh's illegal businesses on red alert
- Second type of tax will be on profit in case there are no profit, there will be a specific percentage depending on profession.
- Till now expatriates are running businesses in Saudi Arabia on the name of Saudi citizens and paying them a certain percentage of profit. Similar : Companies notices to Expatriates in KSA
- Now new proposal will allow expats to run businesses on their own names and become self sponsor and pay a certain percentage of profit to government as tax.
- Currently Expatriates are dominating commercial activities and commercial cover ups account for 80 percent of Saudi Arabia economy, which is about 300 Billion Saudi Riyals. This is one factor behind unemployment of Saudi citizens. Recommend : Saudi Riyals cleverly packed in Bananas
- 30% of expatriates are working for themselves under commercial cover ups, Authorities are trying to reform labor market and allowing expatriates to invest on specific regulations and annual taxes. Most Viewed : Penalties for Employers on Iqama violations