Source-cited draft: company formation & entity choice for Oman (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review.
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Built by Michael Cutajar and the OpenAccountants team. Written from the official sources it cites.
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Most common entity type
Limited Liability Company (LLC)Commercial Companies Law (Royal Decree No. 18/2019) — https://www.sovereigngroup.com/news/how-to-set-up-an-llc-in-oman/
Other entity types
One Person Company (OPC/SPC), joint stock company (SAOC closed / SAOG public), partnership, joint venture, branch of a foreign company, and holding companyCommercial Companies Law (Royal Decree No. 18/2019) — https://mawaleh.com/blog/llc-formation/
Foreign ownership
100% foreign ownership permitted for most activities (subject to a restricted/negative list)Foreign Capital Investment Law (Royal Decree No. 50/2019) — https://gulfcoreservices.com/blog/how-to-form-a-100-foreign-owned-company-in-oman-rules-fees-and-timeline/
Minimum share capital (LLC, general)
No statutory minimum for most activities; capital should be adequate for the activity ((approx — confirm by activity))Foreign Capital Investment Law (Royal Decree No. 50/2019) — https://omanbss.com/what-is-the-minimum-capital-for-llc-in-oman/
Minimum capital often required in practice (foreign-owned)
OMR 150,000 is commonly applied for foreign-owned LLCs in certain/regulated activities OMR ((approx — confirm; varies by activity and free-zone status))Foreign Capital Investment Law (Royal Decree No. 50/2019) — https://www.sovereigngroup.com/news/how-to-set-up-an-llc-in-oman/
Number of shareholders (LLC)
1 (One Person Company) to a statutory maximum; typically 2 or more for a standard LLC ((approx — confirm statutory maximum))Commercial Companies Law (Royal Decree No. 18/2019) — https://mawaleh.com/blog/llc-formation/
Registration authority
Ministry of Commerce, Industry and Investment Promotion (MOCIIP) — Commercial RegistrationCommercial Register Law / MOCIIP — https://intuitconsultancy.com/company-formation-in-oman/
Core incorporation steps
Reserve company name (MOCIIP); draft and notarize Memorandum & Articles of Association; obtain security clearance for foreign investors where required; register for Commercial Registration; obtain municipality/activity licenses; register with the Tax Authority and SPFCommercial Companies Law (Royal Decree No. 18/2019) — https://intuitconsultancy.com/company-formation-in-oman/
Typical incorporation timeline
Approximately 2–3 weeks (name reservation 1–2 days; commercial registration and licensing ~5–10 business days) ((approx — varies by activity and clearances))MOCIIP — https://www.gryffincapitalist.com/om
Core annual compliance
Renew Commercial Registration; maintain accounting records and prepare financial statements; file annual corporate income tax return; file quarterly VAT returns (if registered); make monthly SPF contributionsCommercial Companies Law (Royal Decree No. 18/2019) — https://taxsummaries.pwc.com/oman/corporate/tax-administration
Statutory audit
Audited financial statements are generally required for companies (joint stock companies and most LLCs of any size) ((approx — confirm exact thresholds/exemptions))Commercial Companies Law (Royal Decree No. 18/2019) — https://taxsummaries.pwc.com/oman/corporate/tax-administration
Rendered from the canonical facts model. General reference only — confirm with a qualified professional before acting.
Companies are governed primarily by the Commercial Companies Law, with foreign investment governed by the Foreign Capital Investment Law. The LLC is the most common vehicle, and 100% foreign ownership is now permitted for most activities.
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