Oman Personal Income Tax

Personal income tax in Oman

For tax year 2025 Oman levies NO personal income tax on individuals — there are no bands, no thresholds and no individual filing obligation. A new 5% personal income tax has been enacted but does not take effect until 1 January 2028; the figures below describe that future regime.

• Personal income tax for 2025 — None — individuals pay no tax on salaries, wages or other personal income; no individual return is required (Personal Income Tax Law (Royal Decree No. 56/2025))
• Tax-free threshold (from 2028) — OMR 42,000 of annual gross income is exempt; tax applies only above this amount OMR (Personal Income Tax Law (Royal Decree No. 56/2025))
• Personal income tax rate (from 2028) — 5% flat on annual gross income exceeding OMR 42,000 % (Personal Income Tax Law (Royal Decree No. 56/2025))
• Scope for residents (from 2028) — Tax residents (Omanis and non-Omanis present 183+ days in a year) taxed on worldwide gross income above OMR 42,000 (Personal Income Tax Law (Royal Decree No. 56/2025))
• Individual residence test (from 2028) — Resident if present in Oman for 183 days or more in the tax year (or an Omani citizen) (approx — confirm exact day-count rule in Executive Regulations) (Personal Income Tax Law (Royal Decree No. 56/2025))
• Exempt income types (from 2028) — Gain on sale of a primary residence, certain foreign salary, gifts, and inheritance are expected to be excluded (approx — confirm; detailed exemptions await Executive Regulations) (Personal Income Tax Law (Royal Decree No. 56/2025))
• Deductions / reliefs (from 2028) — The law contemplates deductions for items such as education, healthcare, housing, zakat/donations and other social allowances (approx — confirm; specifics await Executive Regulations) (Personal Income Tax Law (Royal Decree No. 56/2025))
• Executive Regulations timing — Detailed procedures, forms and timelines expected within one year of the law's publication (by ~30 June 2026) (approx — confirm) (Personal Income Tax Law (Royal Decree No. 56/2025))
• Non-resident individual tax (2025) — None — non-residents pay no personal income tax on Oman-source employment income in 2025 (Personal Income Tax Law (Royal Decree No. 56/2025))
• Capital gains (individuals, 2025) — No separate capital gains tax on individuals' personal investments in 2025 (approx — confirm) (Personal Income Tax Law (Royal Decree No. 56/2025))