Country Hub · Oman · 2026

Oman

0% personal income tax · VAT 5% · Corporate tax 15% · No CGT · No inheritance tax · No wealth tax · Social insurance for Omani nationals only (PASI)

0% personal income tax on individuals (expatriates and Omani nationals alike)

Tax Rate Range

5% (introduced April 2021)

VAT

15% on profits of companies and permanent establishments; small businesses may qualify for reduced rates

Corporate Income Tax

Calculate Your Oman Tax

Oman Tax Facts

— 2026

Tax Rate Range

0% personal income tax on individuals (expatriates and Omani nationals alike)

VAT

5% (introduced April 2021)

Corporate Income Tax

15% on profits of companies and permanent establishments; small businesses may qualify for reduced rates

Capital Gains Tax

None for individuals

Inheritance Tax

None

Wealth Tax

None

Social Insurance (PASI)

Omani nationals contribute to the Public Authority for Social Insurance; expatriate employees are exempt from Omani social contributions

Currency

Omani Rial (OMR) — one of the world’s highest-valued currencies; 1 OMR ≈ $2.60 USD

Tax Year

1 January – 31 December

Quick Country Comparison

— at OMR 30,000

Country	Take-home	Eff. Rate	vs Oman
Oman	~OMR 30,000	0%	—
UAE	~OMR 30,000	0%	~OMR 0 (same)
Saudi Arabia	~OMR 30,000	0%	~OMR 0 (same)
Bahrain	~OMR 30,000	0%	~OMR 0 (same)

Comparison based on OMR 30,000/year gross salary (~$78,000 USD) for an expatriate employee. Oman, UAE, Saudi Arabia, and Bahrain all levy 0% personal income tax. Expatriates in all four Gulf states are exempt from employee social insurance contributions. Illustrative — not tax advice.

Want your exact figures? Use the full Oman calculator →

Comparison Guides

Oman sits alongside the UAE, Saudi Arabia, and Bahrain as a Gulf state with 0% personal income tax. Comparisons highlight differences in VAT rates, corporate tax regimes, cost of living, and work visa systems across the Gulf Cooperation Council.

Salary Guides

Oman uses the Omani Rial (OMR), one of the world’s highest-valued currencies. The Oman Tax Authority administers corporate tax and VAT; there is no personal income tax authority because no personal income tax exists. Expatriates working in Oman pay 0% income tax and are exempt from Omani social insurance (PASI) contributions — Omani national employees contribute to PASI for pension coverage. The 5% VAT, introduced in April 2021, applies to most goods and services.

Moving from Oman

Muscat is a growing hub for expatriate professionals, particularly in the energy, tourism, and financial services sectors. Oman operates a work visa system tied to employer sponsorship. Oman Vision 2040 is actively diversifying the economy beyond oil, creating new professional opportunities in logistics, tourism, and technology. The combination of 0% income tax, relatively lower cost of living than Dubai, and a quieter lifestyle compared to the UAE makes Oman an attractive alternative Gulf destination.

2026 Oman Tax Changes

0% personal income tax maintained for 2026 — Oman has no personal income tax for individuals; there are no announced plans to introduce one under Oman Vision 2040.
VAT at 5% remains among the world’s lowest — Introduced in April 2021, Oman’s 5% VAT rate is unchanged for 2026 and applies broadly to goods and services, with exemptions for basic food items, healthcare, and education.
Corporate tax at 15% — The standard corporate income tax rate of 15% applies to companies and permanent establishments; small businesses with revenue below OMR 30,000 may qualify for a 3% preferential rate.
Oman Vision 2040 diversification drive — The government continues to invest in non-oil sectors including tourism, logistics, manufacturing, and technology, creating new expatriate employment opportunities across Muscat and other regions.

Last Updated: June 2026 · Daniel · CountryTaxCalc