Income Tax Registration
Tax cards are most definitely something new arrivals in Qatar should know about. Qatar Tax Law states that if you are a taxpayer, and you are involved in any business activity or earn a taxable income in Qatar, then you will need a tax card.
Applying for this tax card comes with a time limit. In fact, your selected auditor must register with the Public Revenue and Taxes Department (PRTD) and apply for a tax card within 30 days of obtaining commercial registration, or the first day of realization of income from the activity, whichever is the earlier date.
It’s usually recommended that companies make their application with 30 days of obtaining commercial registration, even if their first income comes later. And what happens if the registration and tax card application is not made in a timely manner? A penalty of QR 5000 may be imposed for those who fail to register and apply for a tax card within the given deadline.
Aside from avoiding the penalty, taxpayers can enjoy other benefits from having a tax card. As tax cards are typically issued to residents of Qatar or those with a permanent establishment, the tax card holder should be able to receive payments for goods and services free from withholding tax.
Applying for a Tax Card in Qatar
To apply for a tax card, you must register with the PRTD. The following documents are generally required:
Completed tax card application form,
Appointed auditor’s mandate,
Copy of Commercial Registration with six months’ validity,
Copy of Trade license (Baladia),
Copy of Computer card,
Copy of Shareholders’ IDs or CRs
Copy of Articles of Association (establishment contract/partnership deed/MOU).