Ernst & Young calls for thorough adherence to tax & zakat compliance at annual seminar
Riyadh 7 March 2010: Ernst & Young recently hosted a seminar on Saudi Arabian corporate income tax law & zakat regulations and its by-laws at the Riyadh Marriott Hotel. The seminar was attended by over 100 finance and tax executives from the Kingdom.
The seminar focused on the update on zakat, corporate income tax regulations as well as clarifications issued by the Department of Zakat and Income Tax (DZIT). Recent appeal decisions, tax treatment of complex tax issues and proposed amendments to Saudi Companies regulations were also presented.
Ahmed Abdullah, Senior Director, Tax Services at Ernst & Young Middle East, presented updates on the application of zakat/ tax regulations and current practices adopted by tax authorities in reviewing tax/ zakat returns. Ahmed emphasized that the tax/ zakat returns are subject to “more detailed scrutiny than before and the DZIT expects that tax/ zakat payers should adhere to all necessary compliance requirements.”
Asim Sheikh, Senior Director, Tax Services, Ernst & Young Middle East said: “Our clients understand the value of our commitment. We are proud to have provided professional tax and zakat services to a wide range of companies including large multinational corporations and Saudi business groups, which have complete confidence in our professionalism and in our dedication to total quality service.”
The seminar also provided a unique opportunity for participants to update and enhance their knowledge and understanding of the tax treaties signed between Saudi Arabia and over twenty countries to avoid double taxation.
Saudi Arabia has so far signed approximately twenty tax treaties with other countries. Of these, treaties with eleven countries i.e. Austria, China, France, India, Italy, Malaysia, Pakistan, South Africa, Spain, Turkey and the UK, are already in force. The remaining tax treaties will come into force shortly.
Tax implications and tax mitigating opportunities in respect to inbound investment into and outbound investments from Saudi Arabia were also discussed.
The seminar is an annual event organized by Ernst & Young for almost a decade in order to ensure its clients are kept abreast with latest developments on tax and zakat matters as well as other relevant business regulations.
Ernst & Young has also organized similar tax seminars in Alkhobar and Bahrain, which have been attended by over 500 representatives from various organizations operating in Saudi Arabia and other GCC countries.