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Oman’s ruler returns after ‘successful’ medical check-up in Germany

​Sultan Qaboos travelled to Germany in mid-February

Oman proposes changes to life imprisonment

Life in prison could be reduced to 25 years if new proposals are agreed

Majid Al Futtaim Properties eyes Egypt, Oman and Saudi for hotel growth

The company currently has 12 operational hotels including 10 in Dubai

One year jail term for jumping red light in Oman

Drivers who fail to stop at red signals will also be in line for a $1,300 fine

Majid Al Futtaim plans $13m expansion of City Centre Qurum in Oman

The revamp will see the introduction of Centrepoint within the mall

Oman could become the first country in the Gulf Cooperation Council to introduce value added tax as it looks to raise revenues, according to reports. Oman Daily Observer cites an official familiar with the matter as saying the “final touches” are being made to the country’s draft law relating to VAT. “It is only a matter of timing,” he said, without specifying the tax rate. "There will be no exemptions, and all consumers will pay the VAT upon its implementation," he said, adding, "key sectors, sectors such as health, education and social services may not be included in the new tax net". The source said around 94 food items would also be exempt and the country expected to raise OMR 300m ($779m) each year from the levy for state coffers. However, he ruled out any plans to introduce income tax in the country, according to the publication. A GCC-wide agreement to implement a VAT rate of 5 per cent is in the works with the UAE already confirming its plans. Last month, the emirates said it would implement the levy from January 1 2018. Under the agreement, UAE minister of state for financial affairs Obaid Humaid Al Tayer said other countries in the region would have until January 1 2019 to follow suit. He said at least 100 foot items, bicycles, healthcare and education would be exempt from VAT, which is expected to raise Dhs 12bn ($3.2bn) for the country in its first year. In a report this month, consultancy firm EY’s MENA indirect tax leader Finbarr Sexton said VAT would have a “broad impact” on businesses in the region. “It will diversify government revenue sources and reduce reliance on oil revenues to finance government expenditures,” he said. “The additional revenues collected are likely to fund programmes for the development of job opportunities for nationals and improve education and healthcare in the GCC.” But he warned that there would be severe penalties for non-compliance. “All businesses must undertake a review of their current contracts to determine if VAT has been appropriately addressed,” he said. The implementation of VAT in the GCC is being driven by a prolonged decline in Brent crude prices from a $115-per-barrel peak in mid-2014 to around $40 this month. GCC countries are expected to post average fiscal deficits of 16 per cent this year, with a $275bn regional shortfall, according to the International Monetary Fund. Related articles VAT could become additional cost for GCC businesses Industry GCC Rail Completion Date Could Be Pushed To 2020 - UAE Minister Industry UAE Launches Strategy To Become Most Innovative Country In Seven Years Industry Newsletter Subscribe to get a Gulf Business update each day. By Robert Anderson Email Robert Latest More senior executives at Abu Dhabi bank FGB depart Emirates would buy more A380s even if new version shelved Saudi Aramco prepares for global expansion as IPO looms UAE workers say CEOs accountable for data breaches

Oman could be first to launch VAT in GCC

The country is reportedly putting the “final touches” to its draft tax law

Oman’s new low cost carrier named Salam Air

Name was chosen following an online poll.

Oman bus crash kills 18- police

The accident took place between the districts of Ibri and Fuhud.

Oman to borrow up to $10bn – report

Sultanate is eyeing foreign loans to plug its budget deficit

Oman eyes removal of foreign ownership restrictions

Reports suggest the sultanate may approve new legislation to attract foreign investment

Emiratis less enthusiastic about running their own business than Omanis, Saudis – survey

Oxford Strategic Consulting found only 11 per cent of UAE nationals listed running their own business as an ideal role

Oman’s new low cost airline to launch in Q4 2016; eyes Iran, Pakistan routes

The new carrier will be owned and managed by Omani state-backed investment firm ASAAS

Oman’s austerity measures could boost foreign investment in property market

The sultanate is anticipated to see a rise in public-private partnerships, finds Cluttons report

New visa charge could bring Oman $43m each year

Extra visa fees will need to be paid by companies following new charge by Royal Oman Police

Bahrain, Oman raise domestic fuel prices

Gasoline prices in both countries will increase this week

Oman seeks $2.6bn foreign loan as budget deficit reaches $8.6bn

Measures unveiled to ease pressure on country’s domestic liquidity and interest rates

Oman’s tourism agency Omran appoints new CEO

Wilson’s appointment comes as Omran looks to boost tourism in the sultanate

Oman cuts spending, budget deficit to reach $8.6bn in 2016

State spending is estimated to fall 11 per cent in 2016 to reach OMR 11.9bn as oil prices squeeze finance

Oman announces plans to increase corporation tax, cut spending, subsidies

The sultanate is expected to post a budget deficit equivalent to 17.7 per cent of GDP in 2015

Oman’s shoura council votes for 3% hike in corporate tax

The hike in taxes is hoped to bolster revenues as cheap oil pinches

Bulgaria calls Omani claim over bank collapse ‘groundless’

Oman’s State General Reserve Fund (SGRF) has taken Bulgaria to arbitration at the Washington-based International Centre for Settlement of Investment Disputes

Government approves restructuring of Oman Air

The government will take an additional OMR 138.1m ($359m) worth of shares in the airline in exchange for a cash injection which occurred last year

Omani foreign minister meets Syria’s Assad

Oman sees itself as a conciliator in a volatile region

Oman, Japan to form $400m fund to invest in food sector

The fund will facilitate direct investment in GCC states by Japanese food and agribusiness firms

Muscat airport expansion plan faces further delay – official

A new passenger terminal is now due to open by the end of 2016, about a year later than the previous estimate

Swiss authorities helping Oman in oil corruption probe

Swiss authorities are involved because transactions related to the probe involved Swiss financial institutions, a source said

Oman says committed to currency peg despite cheap oil

The plunge of oil prices since mid-2014 has put heavy pressure on Oman’s state budget, causing one-year dollar/rial forwards to rise as high as 1,000 points this week

Oman oil production climbs above 1m bpd in July -ministry

The sultanate has been ramping up oil production despite a global supply glut that has hit oil prices as it hopes to compensate for the drop in oil revenues

Oman boosts oil production to record high in June

The sultanate is under pressure to pump more oil to make up for the drop in the price

British Airways to fly Dreamliner to Abu Dhabi and Muscat

British carrier will hope to lure Emiratis and Omanis onto its new First Class suites