Taxation Services in Kuwait - Intuit Management Consultancy (IMC) Group
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Taxation Services in Kuwait

TAXATION SERVICES OFFERED BY IMC

IMC can advise customers about the Tax implications at the pre-incorporation stage and suggest appropriate company structures. We will advise on the Corporate Taxes as well as applicability of trade taxes like Sales Tax, VAT, GST for your industry. We will also advise on the applicable Forms to be filed, to which authorities it should be filed and the frequency of filing. In the case of Import and Export business, we will also advise on the Double tax Treaties and its implications. We can do the hand-holding in the initial phase of establishing the business as well as an on-going basis. IMC has been operating in GCC for over 10 years.

Kuwait Corporate Tax guidelines

Tax Indicator Resident Non – Resident
Fiscal year end Calendar Year Calendar Year
Income Tax Not applicable. However, Kuwaiti (Closed) Shareholding Companies are subject to 1% Zakat, 1% contribution to the Kuwait Foundation for the Advanced Sciences, and 2.5% National Labour Support Tax (if listed on the Kuwait stock exchange). Taxed as ordinary income. Capital gains from shares listed on the Kuwaiti Stock Exchange are exempt from taxation.
Tax on Capital Gains None Taxed as ordinary income. Capital gains from shares listed on the Kuwaiti Stock Exchange are exempt from taxation.
General Sales Tax Not applicable Not applicable
Value Added Tax Not applicable Not applicable
Withholding Tax on Dividends Not applicable Not applicable, except for a 15% withholding tax on dividends earned by foreign investors from securities listed on the Kuwaiti Stock Exchange.
Withholding Tax on Interest Not applicable Not applicable. Interest received is taxed at 15%.
Withholding Tax on Royalties Not applicable Not applicable Royalties received are taxed at 15%.
Withholding Tax on Management Service Fees Not applicable Not applicable Management fees are taxed at 15%.
Retention Payments to foreign suppliers / service providers are subject to 5% retention, which tax is released once the foreign recipient produces aa Tax Clearance Certificate from the Kuwait Tax Authorities.
Customs Standard rate is 5%. Other rates (0%, 100%) apply depending on the nature of the goods.
Exchange Controls Not applicable
Transfer Pricing Depending on the activity, a deemed profit margin is applied, ranging from 5% (third parties) to 30% (related parties).

Details of TaxationServices covered

  • Registering with the tax authorities
  • Preparing the periodical tax filing statements and forms
  • Submission to the appropriate authorities
  • Managing payments of tax liabilities on behalf of clients
  • Handling basic questions, notices or assessments from the tax offices