Beautiful Virgin Islands

Sunday, Jul 06, 2025

Multinationals relocating headquarters to Saudi Arabia likely to get tax exemption

Multinationals relocating headquarters to Saudi Arabia likely to get tax exemption

Minister of Investment Khalid Al-Falih has stated that multinationals relocating their regional headquarters to Saudi Arabia this year are more likely to get tax exemption.
Al-Falih made these remarks to the British newspaper Financial Times, wheres he noted that the multinational companies that will be included in the exemption are those who relocated their regional headquarters to the Kingdom this year with the aim of securing lucrative government contracts.

He said that an announcement will be issued soon to clarify the regulations for the multinational companies.

"Business is going on as usual for us here inside and outside Saudi Arabia" Al-Falih confirmed, while adding that the operations outside Saudi Arabia will be taxed in those entities’ country of operations, and will not be intermingled or mixed with the regional headquarters in the Kingdom.

The Regional Headquarters Program (RHQ) is a joint initiative between the Ministry of Investments and the Royal Commission for Riyadh City, which invites global companies to move their regional headquarters to Saudi Arabia.

They will be taxed, only for limited profits, Al-Falih said, adding that, most likely those companies will be granted tax relief.

Saudi Arabia does not want to incur additional costs for companies, he said.

Al-Falih pointed out that they have realized that they have to do everything they can through policy and regulation to ensure that companies do not incur additional risks or costs from alternative jurisdictions for managing their regional operations, and the biggest one of course is taxation.

Saudi Arabia is the biggest economy MENA, and also ranks 18th in the ranking of the largest economies in the world.

Thus the regional headquarters scheme, and invest in Saudi initiative comes as part of an ambitious plan to make the Kingdom less dependent on oil revenues by transforming Saudi Arabia into a hub for trade and finance.

Major Saudi companies are set to spend hundreds of billions of dollars on new projects during the upcoming decade, which would attract multinationals to the Kingdom.

About 80 companies, including Unilever and Siemens, have already been granted licenses to move their regional headquarters to Saudi Arabia, the British Financial Times said, adding many of which are expected to be based in Riyadh’s King Abdullah Financial District.

It is worth mentioning that PepsiCo had announced earlier that it had relocated its Middle East chief executive’s office to the Kingdom.

Saudi Arabia, which imposes a 20% corporate income tax, has promised its own incentives, including exemptions on visa limits and recruitment quotas for Saudi nationals for 10 years.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
Poland Implements Border Checks Amid Growing Migration Tensions
Political Dispute Escalates Between Trump and Musk
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
US Senate Votes to Remove AI Regulation Moratorium from Domestic Policy Bill
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
Jury Deliberations in Diddy Trial Yield Partial Verdict in Serious Criminal Charges
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
King Charles Plans Significant Role for Prince Harry in Coronation
Two Chinese Nationals Arrested for Espionage Activities Against U.S. Navy
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
×