Saudi Arabia
Western Asia • UTC+3 • Asia/RiyadhSaudi Arabian Tax System
Saudi Arabia's tax system includes corporate tax, VAT, and Zakat. There is no personal income tax, making it attractive for expatriates.
Income Tax
0%
No personal income tax
Corporate Tax
20%
Standard corporate tax rate
VAT / GST
15%
Standard VAT rate
Nomad Visa
Not Available
No dedicated program
Tax System Overview
Saudi Arabia has a tax system that includes corporate tax, VAT, and Zakat. There is no personal income tax, making it attractive for expatriates.
System Type
No personal income tax
Resident Taxation
Residents are not taxed on personal income.
Non-Resident Taxation
Non-residents are not taxed on personal income.
Tax Year
January 1 – December 31
Income Tax Bands
No personal income tax. Saudi Arabia does not levy tax on personal income.
Tax Treaty
Double Taxation Agreements reduce withholding taxes and avoid double taxation on income from foreign sources.
United Kingdom
Treaty ActiveThe treaty between Saudi Arabia and the UK prevents double taxation on income, reduces withholding taxes on dividends, interest, and royalties, and clarifies tax residency rules.
Key Benefits
Prevents double taxation on income earned in both countries.- Reduced withholding tax on dividends, interest, and royalties.
- Clarifies tax residency to determine where taxes should be paid.
Totalization Agreement
These agreements coordinate social security systems, ensuring workers pay into only one system at a time.
United Kingdom
Agreement ActiveSaudi Arabia and the UK have a social security totalization agreement that prevents workers from paying social security in both countries simultaneously.
Coverage Areas
Facts
- Prevents double taxation of social security contributions for UK–Saudi workers.
- Allows workers who split careers between the two countries to combine contribution periods.
Other Countries with Agreements
Business & Freelancing
Corporate Tax Rate
20% for foreign entities
VAT Registration
Mandatory for businesses with annual turnover exceeding SAR 375,000.
Freelancer Rules
Freelancers must register for VAT if their income exceeds the threshold.
Crypto Policy
Cryptocurrency transactions are not specifically regulated but may be subject to VAT.
Frequently Asked Questions
Digital Nomad & Benefits
Visa Details
Tax Perks
- No personal income tax for residents
- 15% VAT applies to goods and services
Filing Roadmap
Register Your Business
Ensure your business is registered with the Saudi Arabian General Investment Authority (SAGIA) or relevant authority.
Obtain a Tax Identification Number
Apply for a Tax Identification Number (TIN) through the General Authority of Zakat and Tax (GAZT).
File VAT Returns
Submit VAT returns quarterly if your business is registered for VAT.
File Corporate Tax Returns
File corporate tax returns within 120 days of the fiscal year-end.