Oman's Tax Authority begins receiving VAT returns on website

Muscat: The Tax Authority began receiving the first value-added tax (VAT) returns on its website from July 1, for a period of 30 days.

A statement issued online by the Oman News Agency, (ONA), said that the tax return submitted for each quarterly tax period by VAT registrants includes the value of supplies, due outputs, deductible inputs, and tax payable and recoverable.

The authority stressed the importance of the obligation of taxpayers to submit their returns on time. In order to avoid the penalties mentioned in the VAT Law in Article 101, which stipulates that any person who refrains from submitting a tax return, submitting a tax return with incorrect data, or committing other violations specified by law, shall be punished with imprisonment for a period of no less than one year and not exceeding three years and a fine of not less than 5,000 Omani Riyals and no more than 20,000 Omani Riyals, or one of these two penalties.

On July 1, the Tax Authority began receiving the registration of merchants and service providers who are obligated to register for VAT if they have reached the minimum value of their annual supplies or are expected to reach between OMR 250,000 and OMR 499,999.

The Tax Authority confirmed that in December, the mandatory registration phase will begin for those who reach the minimum value of their annual supplies or are expected to reach OMR 38,500, which is the mandatory minimum for registration, while those whose annual supplies reach between OMR 19,250 and OMR 38,499 are eligible for voluntary registration for VAT.