VATupdate

VAT Rates in Oman

Quick overview

Standard Rate Reduced Rate Other Rates
5%

The local name for VAT in Oman is Value Added Tax.

There is basically ony 1 VAT rates in Oman:

  • Standard VAT rate is 5%
  • The are no Reduced VAT rates

Recent developments

For more information about (recent) rate change developments in Oman, please click here.

Standard rate: 5%

This rate applies for all transactions that take place in Oman, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).

Zero rate (0%)

Zero rated

  • Exports of goods or services
  • Certain financial services
  • Education
  • Healthcare – Medicines and medical equipment
  • Investment gold, silver and platinum
  • International or intra-GCC transport of goods, passengers and related services
  • Supply of aircraft or vessels designated for rescue and assistance by air or sea
  • Crude oil, oil derivatives and natural gas
  • Export goods and services as well as the re-export of temporary imported goods
  • Supply of air, sea and land means of transport for the transportation of passengers and goods for commercial purposes and related services
  • Supply goods or services in suspended status (from duties/taxes) under the GCC unified customs law

Exempted:

  • Certain financial services; basic foodstuffs; rent; healthcare
  • 94 food items are exempted from VAT including milk, meat, fish, poultry, fresh eggs, vegetables and fruits, coffee and tea, olive oil, sugar, nutritional products for children, bread, bottled drinking water and salt.

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on June 9, 2021.

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