Saudi Finance Minister update on personal income tax

Saudi Finance Minister update on personal income tax. The Finance Minister of Saudi Arabia has categorically stated that there are no plans to impose income tax on individuals in the country. During an interview at the 2024 World Economic Forum in Davos, Mohammed Al Jadaan emphasized the government’s commitment to existing financial mechanisms.

Saudi Finance Minister update on personal income tax

Al Jadaan highlighted the utilization of revenue sources like value-added tax (VAT), income tax on companies and foreign investors, and zakat, with no intentions to modify these mechanisms. Instead, the focus is on streamlining economic processes to create a more business-friendly environment.

The minister also emphasized diversification efforts into sectors like tourism, technology, and logistics, along with infrastructure projects to enhance connectivity. Saudi Arabia is expanding water treatment plants and investing in renewable energy projects. To address the deficit, the country issued $12 billion in bonds, allocated to finance the current deficit of around two percent of the GDP.

Al Jadaan expressed optimism about positive economic progress and plans to expedite spending on major projects.