Qatar does not levy personal income tax. This applies to all individuals, whether Qatari nationals or foreign residents, regardless of income level or source. Salaries, wages, bonuses, and personal investment returns are not subject to taxation for individuals.
Personal Income Tax
There is no personal income tax in Qatar. Employees working in Qatar receive their full gross salary without income tax deductions. This is one of Qatar’s primary attractions for expatriate professionals and a competitive advantage over jurisdictions that tax personal earnings.
Corporate Tax
Qatar does levy corporate income tax, but the scope is limited. The key provisions are:
- Foreign-owned entities: Companies with foreign ownership operating on the mainland are subject to a flat 10% corporate income tax on Qatar-sourced profits.
- Qatari and GCC-owned entities: Companies wholly owned by Qatari or GCC nationals are generally exempt from corporate tax.
- QFC-registered firms: Subject to the QFC’s 10% tax rate, with access to Qatar’s double taxation treaty network.
- QFZA-registered firms: Eligible for 0% corporate tax for up to 20 years.
Withholding Tax
Qatar imposes withholding tax on certain payments made to non-resident entities. Rates are typically 5% on royalties, technical fees, interest, and other specified payments, subject to reductions under applicable double taxation treaties.
Value Added Tax (VAT)
As of 2025, Qatar has not implemented VAT. While the GCC VAT Framework Agreement provides for eventual VAT introduction across member states, Qatar has not announced an implementation date. Saudi Arabia and the UAE introduced 5% VAT in 2018, with Saudi Arabia subsequently increasing it to 15%.
Capital Gains Tax
There is no capital gains tax for individuals in Qatar. Corporate capital gains are treated as ordinary business income and taxed at the standard 10% corporate rate for foreign-owned entities.
Social Security Contributions
Qatari nationals are subject to mandatory pension contributions. Employers contribute 10% and employees contribute 5% of salary to the General Retirement and Social Insurance Authority. Expatriate workers are not subject to Qatar’s social security system.
Tax Treaties
Qatar has signed double taxation avoidance agreements with over 80 countries, reducing withholding tax rates and preventing double taxation of cross-border income.
Summary
Qatar’s tax regime is among the most favourable in the world for individuals and competitive for corporations. Zero personal income tax, a flat 10% corporate rate, no VAT, and an expanding treaty network make Qatar an attractive jurisdiction for both employment and business operations.