The General Tax Authority (GTA) announced the implementation of the "simplified tax return", which must be submitted by corporates and permanent establishments that are exempt from tax, owned by Qatari and GCC citizens, whose share capital is less than QR1mn with annual revenue less than QR5mn.
Based on circular No 2 of 2021 issued by the GTA, with regards to the submission of the tax return for the corporates owned by Qatari and GCC citizens that are exempt from tax, corporates whose capital equal to or more than QR1mn or its annual revenues are equal to or more than QR5mn, have to submit the tax return and audited financial statements based on the "approved tax return form".
In order to facilitate the process, the GTA announced an extension for this category to submit their tax returns for 2020 by an additional four months.
The GTA states that this extension applies to all companies, owned by Qatari and GCC citizens, which are required to submit a tax return, simplified or approved. The extension applies for the fiscal year that ended on December 31, 2020. This extension is also applied to companies who follow a different accounting period approved by the GTA.
All companies must take into consideration the dates for submitting of tax returns and stipulated financial statements during the upcoming years.
The GTA's circular stated that in case of non-compliance with the procedures related to submitting tax returns and financial statements, a penalty of QR500 will be imposed for each day of delay, with a maximum of QR180,000, according to Article 24 of the Income Tax Law.
All taxpayers are requested to submit tax returns of both types of taxes, simplified and approved, through the Dhareeba tax portal (www.dhareeba.gov.qa), and attach all financial accounting statements when submitting tax returns.
More information on submitting tax returns can be had at [email protected], or call 16565.