Businesses face the challenge of turning their newly established endeavors into profit making operations within a stated period of time, which is not an easy task. To this end, taking full advantage of all available opportunities should certainly include appropriate tax planning and taking relevant advice . Tax laws are quite complex and therefore it is most advisable to ensure that businesses with across the border operations undertake adequate tax planning at an early stage.
Income TAX
Foreign companies who are doing business in Kuwait are subject to 15% income tax of the net annual profit, payable to Ministry of Finance (MOF).In this context,
Alwaha renders auditing services related to tax on foreign companies income in Kuwait to the clients from A to Z, covering the following stages:
- Tax Planning.
- Registration with MOF.
- Tax Submission and Inspection.
- Tax Objections and Appeals.
- Clearance Certificate.
We render income tax services based on three main perspectives: the benefits of income tax payer, compliance with the income tax laws, and avoiding tax penalties.
National Labor
Kuwaiti companies listed in Kuwait Stock Exchange (KSE) are subject to 2.5% National Labor Support Tax of net annual profits, payable to the Ministry of Finance (MOF). Kuwait National Labor Support law was promulgated to support and encourage Kuwaiti nationals to work in private sector. Alwaha renders auditing services related to National Labor Support Tax declaration in an efficient manner, in accordance with National Labor Support Tax Law, amendments and executive regulations thereof. In addition, we provide our advisory service regarding the objection and the appealing process, if any. The governing laws of Kuwait National Labor Support Tax are Law No.19 of 2000, National Labor Support Tax Law, amending Ministerial Resolution No.24 of 2006, and Executive Regulations of National Labor Support tax Law in Kuwait .
Zakat
In compliance with Islamic Shari’a (rules), Zakat law on business in Kuwait was promulgated, under which Kuwaiti shareholding companies are subject to Zakat of net annual profits payable to the Ministry of Finance (MOF). This law was promulgated to support the government budget. Alwaha renders auditing services related to Corporate Zakat obligation in an efficient manner in accordance with Zakat law, amendments and executive regulations. In addition, we provide our advisory service regarding the objection and the appealing process, if any Zakat on Business in Kuwait is governed by Zakat Law No.46 of 2006, Resolution No.58 of 2007, amending Zakat Law, and Executive Regulations of ZakatLaw .