Final Year to Exempt Expat Tax for Small Companies Begins

The third and last year of exempting small businesses from the expat levy has begun.

According to the decision, labor fees from work permits worth 800SR per month or 9,600SR annually will be cut to 100SR only, and this will be implemented online through the Ministry of Human Resources and Social Development’s e-portal.

Workers in small businesses with nine or fewer employees will be excluded from fees if the employer works full-time, and the number of exempted workers will be increased to four when another Saudi citizen is hired, according to the decision. Moroor specified the length of time that an International Driving License might be used in Saudi Arabia.

According to a survey, there are around 576,312 businesses with nine or less employees. The Ministry’s decision aimed to give companies and employers more flexibility in regulating their contractual relationships with overseas workers.

The Human Resources Ministry wants to improve the administration of cash flows with private-sector enterprises and enable for payment timing.

Source: Saudi Gazette