Muscat, June 23 -- Oman will implement a 5 percent income tax on individual whose annual earnings exceeds 42,000 Omani riyals (Rs 94,57,768) from January 1, 2028. This move makes Oman the first GCC country to introduce personal income tax in the region.

The new law, issued by Royal Decree No. 56/2025 by Sultan Haitham bin Tarik, on Sunday, June 22, outlines a comprehensive framework of 76 articles across 16 chapters. This tax regime is designed to diversify the country's revenue streams while ensuring that most citizens are not affected.

According to the Oman News Agency (ONA), the law incorporates various discounts and exemptions to account for the social dimension of taxation. These cover areas such as education, healthcare, inheritan...