Simplified tax return facilitates filing procedures

The General Tax Authority (GTA) affirmed the need for home projects and small and medium-sized businesses owned by Qatari citizens and GCC citizens residing in Qatar to file a simplified ‘income statement’ themselves via the Dhareeba electronic portal.
In an exclusive statement to the Qatar News Agency, the head of GTA’s taxpayer support department, Nasser Radi, said the general tax authority had earlier announced the start of the implementation of the “tax form. simplified tax return ”, which must be filed by companies and permanent establishments that have been exempt. tax, held by Qatari citizens and those of the GCC residing in Qatar, and whose capital is less than QR 1 million, and its annual income is less than QR 5 million, adding that it is mandatory for all businesses.


He specified that this procedure aims to simplify the procedures for filing tax returns and to strengthen the principle of tax compliance by this category of taxpayers, through which the taxpayer can submit his simplified tax return himself, by attaching some supporting documents such as rental agreement, bank statement and expense reports, knowing that all companies are required to file a simplified tax return is not subject to income tax, adding that all companies submitting a “simplified tax return” are not subject to income tax.
He noted that the authority has launched the Dhareeba portal since July 2020, providing taxpayers with a simpler and faster way to conduct their tax transactions, stressing that on this basis, the tax return should be submitted electronically via the portal website www.dhareeba.gov .qa
Regarding the filing dates of income tax returns, he said that in accordance with the provisions of Article 29 of the Regulations for the Implementation of the Income Tax Law promulgated by Law No. 24 of 2018, the declaration of income must be filed within four months of the end of the tax year, and therefore, for the tax year running from 01/01/2021 to 12/31/2021, the filing deadlines of the income tax return are from 01/01/2022 to 4/30/2022.
Regarding the reason why companies 100% owned by Qatar and those owned by GCC citizens are subject to income tax, Nasser Radi said that in accordance with the provisions of Article 11 of the law No. 24 of 2018 on the declaration of income In tax law, the taxpayer, even if he benefits from a tax exemption, must submit a tax return to the Authority on the form established for this purpose.
He stressed that this procedure is part of the respect by the State of Qatar of its international obligations in tax matters and in accordance with the application of international standards for the purposes and improvement of compliance with tax obligations by this category of taxpayer.
As for the sanctions imposed by the General Tax Administration by virtue of the law for the late submission of tax declarations, he stated that in application of the provisions of article 24 of law no.24 of 2018 on the law of the Income tax, failure to submit tax returns on time is punishable by a penalty of 500 QR per day, capped at 180,000 QR.
Nasser Radi said that the extension of the tax return filing period for the fiscal year for businesses and establishments owned by Qatari citizens and GCC citizens residing in Qatar, who are tax exempt on income, for a period of 4 months, came to submit the tax declaration and financial data for the accounting year of the tax year 2020 for a period of 4 months.
This sets the date of August 31, 2021 as the deadline for filing the income tax return for this category of taxpayers, he added.
He noted that as a second step, the deadline for filing the tax return and financial statements for the accounting year for the 2020 financial year has been extended by 4 additional months, setting the date of December 31, 2021 as the deadline for submit the tax return.
The objective of the extension is to ensure tax compliance for this category of taxpayers, who, before the enactment of Law No. 24 of 2018 on the enactment of the Income Tax Law, was not not obliged to submit its income tax return, and in accordance with the preventive measure taken by the state to limit and contain the spread of the coronavirus (Covid-19), he said.
He said that people whose business records have expired or those who do not have a business license can submit a simplified tax return if they are doing business in the country, taking into account the availability of the conditions under which these companies are owned by Qatari citizens and CCG citizens residing in Qatar, and whose capital is less than QR1mn, and the annual turnover is less than QR5mn.
He highlighted the role of the General Tax Authority in contributing to improving the investment environment and improving the overall economic climate of the country by establishing a promising Qatar Vision 2030 compliant electronic system aimed at digitizing fully administrative services and to provide all the mechanisms and guarantees. to achieve them, in addition to allowing various entities and natural persons to simplify and facilitate the fulfillment of their tax obligations such as registration, filing of returns and payment of taxes, as well as submitting their requests to the ‘authority, inquiries and suggestions regarding their tax treatment.
Radi pointed out that these procedures are also aimed at creating a comprehensive administration (the Taxpayer Service Department) to address and deal with economic clients, facilitate services and bring them closer to them, as well as sign tax agreements. with countries of the world to guarantee the rights of economic traders and investors in their international transactions.
These procedures also aim to keep pace with international developments in the tax field and engage in most global initiatives in tax matters, to facilitate investments and raise the national economic climate to the level of developed countries, he said. he adds.
Regarding the requirements for cancellation of business registration, the director of the Department of Business Registration and Licensing of the Ministry of Trade and Industry, Ayed al-Qahtani, explained that the cancellation of an expired registry (in the event that a business license had not been issued) required that the trade register of a limited liability company has expired for more than 90 days, and the authorization of the mortgagor in the event of a mortgage on register, in addition to the approval of the court in the event of seizure in the register, as well as submitting a cancellation form from the commercial register signed by one of the authorized signatories.
Al-Qahtani stressed that this procedure does not require a letter from the General Tax Administration or the stamp of the Ministry of Labor on the non-existence of employment.