--- title: "Oman tax for new residents 2026: 5% PIT from 2028" url: https://settleanywhere.com/countries/oman/tax/ lang: en updated: 2026-10-11 --- # Oman tax Tax residence: More than 183 days in tax year. Foreign-source income of residents: 5% PIT from 2028. No special regime for new residents in our records. Checked against official sources on 11 Oct 2026 [Change log](https://settleanywhere.com/changes/) ## Tax residence - More than 183 days in tax year · More than 183 days, continuous or intermittent, makes a person a tax resident. - Under the PIT law, a resident taxpayer's total income includes cash and in-kind amounts received in Oman or abroad (foreign-source income included), while a non-resident is taxed on amounts received in Oman only. Until 2028 no personal income tax applies. - Resident taxpayers are taxed on total income received in Oman or abroad (worldwide basis); non-residents only on income received in Oman. Applies from 1 January 2028; status: enacted, not yet in force. ## Standard rules and foreign-source income Standard rules ### Oman tax: corporate 15%, VAT 5%, personal income tax from 2028 5% tax **Details** - On: PIT: total annual income above OMR 42,000 (≈ $109,000) (resident: received in Oman or abroad - Who: PIT applies to natural persons, resident or non-resident - Limit: OMR 42k/yr ≈ $109k Corporate income tax is 15% of net taxable income; 10% is deducted from payments to non-residents for services, interest or royalties; VAT is 5%. Personal Income Tax (Royal Decree 56/2025) takes effect from the start of 2028 at 5% on income above OMR 42,000 (≈ $109,000) a year; a person present more than 183 days in the year is a tax resident. (sources 1, 2, 3) #### Taxed on PIT: total annual income above OMR 42,000 (≈ $109,000) (resident: received in Oman or abroad; non-resident: received in Oman only). Corporate: net taxable income. #### Who it applies to - PIT applies to natural persons, resident or non-resident, whose total income exceeds OMR 42,000 (≈ $109,000) a year, from the start of 2028. - Tax resident: stays in Oman more than 183 days in the year, continuously or intermittently, Omani or not. #### Exclusions - Deductions and exemptions include education, healthcare, inheritance, zakat, donations and primary housing. - Foreign tax can be deducted only where directly related to income taxable in Oman. #### Limits - OMR 42,000 a year (≈ $109,000) · Personal Income Tax threshold; PIT is charged at 5% on taxable income above it from 2028. #### Days in the country - More than 183 days in tax year · More than 183 days, continuous or intermittent, makes a person a tax resident. #### Tax residence Under the PIT law, a resident taxpayer's total income includes cash and in-kind amounts received in Oman or abroad (foreign-source income included), while a non-resident is taxed on amounts received in Oman only. Until 2028 no personal income tax applies. #### Visas Residency permit type does not set tax status; presence days do. #### Other taxes VAT basic rate 5% on most goods and services; withholding 10% on payments to non-residents; concession contracts taxed at 55%. Checked against official sources on 11 Oct 2026 [Change log](https://settleanywhere.com/changes/) Standard rules ### Oman: no personal income tax until 1 January 2028; 5% on income above OMR 42,000 from then 5% tax Foreign-source income: 5% PIT from 2028 **Details** - Who: Applies from 1 January 2028 - Limit: OMR 42k/yr ≈ $109k Oman levies no personal income tax in 2026 and 2027. Royal Decree 56/2025 introduces a 5% personal income tax on annual income above OMR 42,000 (≈ $109,000) from 1 January 2028; residents will be taxed on income in Oman or abroad, non-residents on income in Oman only. (sources 3, 2, 4) #### Taxed on Net income = total income (cash and in-kind receipts, including salary, pensions, self-employment income and residential rent) exceeding OMR 42,000 (≈ $109,000) per year, less exemptions, costs and losses; the 5% rate applies to the resulting taxable income. Resident taxpayers: total income received in Oman or abroad; non-residents: total income received in Oman only. #### Who it applies to - Applies from 1 January 2028 (law published in Official Gazette 1602 on 30 June 2025; executive regulation to be issued by the Tax Authority chairman within a year of publication). - Tax residents with total annual income above OMR 42,000 (≈ $109,000) must file a return; employers must withhold on salaries above that amount. - Self-employed individuals without a commercial registration are covered; the Tax Authority FAQ allows deducting 15% of gross self-employment income or actual documented expenses. #### Exclusions - Individuals whose total annual income is OMR 42,000 (≈ $109,000) or less have no net income and do not file. - Foreign tax can be deducted only where directly related to income sources taxable in Oman (Tax Authority FAQ). - Before 1 January 2028 no personal income tax applies to salary or foreign-source income of individuals; the existing Income Tax Law taxes companies and permanent establishments (15% of taxable income). #### Limits - OMR 42,000 a year (≈ $109,000) · Total annual income above this amount is net income subject to 5% personal income tax from 1 January 2028; filing duty arises above it. #### Days in the country - More than 183 days in tax year, continuous or intermittent · Staying in Oman more than 183 days makes a person tax resident, whether Omani or not (Tax Authority FAQ). #### Tax residence Resident taxpayers are taxed on total income received in Oman or abroad (worldwide basis); non-residents only on income received in Oman. Applies from 1 January 2028; status: enacted, not yet in force. #### Visas Residence permits do not themselves create tax residence; the 183-day presence test does. #### Other taxes Corporate income tax is 15% of taxable income of Omani companies and permanent establishments (Tax Authority portal home page). Checked against official sources on 11 Oct 2026 [Change log](https://settleanywhere.com/changes/) ## VAT, social security and other taxes - VAT basic rate 5% on most goods and services; withholding 10% on payments to non-residents; concession contracts taxed at 55%. - Corporate income tax is 15% of taxable income of Omani companies and permanent establishments (Tax Authority portal home page). ## Questions people ask ### When do you become a tax resident in Oman? More than 183 days in tax year (More than 183 days, continuous or intermittent, makes a person a tax resident). Under the PIT law, a resident taxpayer's total income includes cash and in-kind amounts received in Oman or abroad (foreign-source income included), while a non-resident is taxed on amounts received in Oman only. ### Is foreign-source income taxed in Oman? 5% PIT from 2028. Oman levies no personal income tax in 2026 and 2027. Royal Decree 56/2025 introduces a 5% personal income tax on annual income above OMR 42,000 (≈ $109,000) from 1 January 2028; residents will be taxed on income in Oman or abroad, non-residents on income in Oman only. ≈ USD figures are approximate: daily reference rates from ExchangeRate-API, dated 12 Oct 2026, refreshed when the site is updated. **Sources (4)** ## Official sources 1. [Tax Rate](https://tms.taxoman.gov.om/portal/tax-rate) · Tax Authority, Oman · checked 2026-10-11 2. [Royal Decree 56/2025 issuing the Personal Income Tax Law (Official Gazette no. 1602; Arabic PDF published by the Tax Authority)](https://tms.taxoman.gov.om/portal/documents/d/taxportal/-56_2025-1?download=true) · Oman Tax Authority · checked 2026-10-10 · published 2025-06-30 3. [Personal Income Tax (PIT) FAQs](https://tms.taxoman.gov.om/portal/web/taxportal/personal-income-tax-faqs) · Oman Tax Authority · checked 2026-10-11 4. [Tax Authority portal home page (income tax summary)](https://tms.taxoman.gov.om/portal/web/taxportal/home) · Oman Tax Authority · checked 2026-10-10