We, Qaboos bin Said, the Sultan of Oman
after perusal of the Basic Statute of the State issued by Royal Decree 101/96,
Royal Decree 47/81 Issuing the Corporate Income Tax Law and its amendments,
and the Muscat Securities Market Law issued by Royal Decree 53/88 and its amendments,
and in pursuance of public interest,
have decreed as follows
Article I
The text of the second paragraph of paragraph 4(a) of the second schedule attached to the mentioned Corporate Income Tax Law is hereby replaced with the following text:
The application of these rates is subject to the following two conditions:
First: At least 51% of the capital of the company must be owned by Omani individuals or Omani companies. For the purposes of applying this condition, the following are treated as Omani shareholders: ministries and government units, public authorities and establishments, pension and retirement funds for Omanis (whether for civil or military government officers or for other employees of companies or establishments), investment accounts (whatever the percentage of contribute of the foreigners to the account), branches of foreign companies, and other entities specified by a decision issued by the minister.
Second: At least 40% of the shares of the company have been offered for public subscription, with the exception of companies established before the date of entry into force of Royal Decree 13/89 amending the Commercial Companies Law 4 of 1974.
Article II
All that is contrary to this decree, or in conflict with its provisions, is hereby repealed.
Article III
This decree must be published in the Official Gazette, and comes into force from the date of its publication.
Issued on: 17 Rabi Al-Awwal 1418
Corresponding to: 22 June 1997
Qaboos bin Said
Sultan of Oman
Published in Official Gazette 604 issued on 2 August 1997.