Frequently asked questions about doing business in Oman

Generally yes. Oman's Foreign Capital Investment Law (Royal Decree 50/2019, in force since 1 January 2020) allows foreign investors to own 100% of an Omani company in most activities, with no mandatory Omani partner. A negative list of activities (set by Ministerial Decision 209/2020, as amended) is excluded, so the permitted activity needs to be checked for your business.

The headline corporate income tax rate in Oman is 15%. A reduced 3% rate applies to qualifying small and medium-sized enterprises that meet the legal conditions. Rates and conditions can change, so confirm with the Oman Tax Authority or your adviser before you decide.

Not at present. Oman currently has no personal income tax on salaries. A 5% tax on individual income above OMR 42,000 has been announced to take effect from 1 January 2028, with executive regulations still to be issued, according to PwC's Worldwide Tax Summaries (reviewed July 2026).

Oman's standard VAT rate is 5%, subject to specific exemptions and zero-ratings under the Oman VAT Law. That is lower than the standard rates in the UK (20%), Germany (19%), the EU average (about 21.9%) and China (13%).

Withholding tax on dividends paid to non-residents is currently permanently suspended, so the rate is 0%. Royalties and certain service payments to non-residents generally attract a 10% withholding tax, and double tax treaties may reduce it. Always check your specific structure.

In outline: choose the right legal form and business activity, confirm the activity is open to foreign ownership, reserve the company name, prepare and sign the constitutional documents, register with the commercial registry and relevant authorities, obtain the required licences, and open a corporate bank account. Shati coordinates each step with you.

Yes, in many cases. Under the Ministry of Housing and Urban Planning's company-purchase service (gov.om, updated 29 July 2026), an Omani company can buy property for its licensed business use. The property must be for commercial, residential-commercial, industrial or tourism use, not purely residential or agricultural, and must be in the same governorate where the company operates. Government fees are OMR 2 for the contract, OMR 10 for the title deed, OMR 25 for the form and 3% of the sale value. Whether a 100% foreign-owned company can take freehold title outside designated areas is not clearly published, so confirm with the Ministry of Housing and Urban Planning before you commit.

Oman has free and special economic zones including Sohar, Salalah and the Special Economic Zone at Duqm, which permit full non-Omani ownership and are aimed at logistics, trade and industry. Free-zone companies generally cannot trade onshore without additional arrangements, so the right choice depends on your customers and activity.

Not for ownership in most activities, since the Foreign Capital Investment Law removed the mandatory Omani shareholder requirement. Some activities, licences or commercial arrangements may still call for a local service agent, partner or approval, and Shati can advise when that applies.

Oman Vision 2040 is the Sultanate's national long-term development strategy. It aims to diversify the economy beyond oil and gas and to strengthen the private sector and foreign investment, which is why sectors such as logistics, manufacturing, tourism and renewables are priorities.

Shati is an Oman-based market-entry consultancy. We guide international companies, trading firms, IT freelancers and content creators through market entry: company registration, licensing, free-zone selection, visas and residency routes, banking, local partner and sponsor arrangements, and tax and compliance set-up. Book a free consultation and we will outline the route that suits your goals.

Oman trades under the GCC Customs Union, the Greater Arab Free Trade Area (GAFTA), the Oman–US FTA (in force since 2009), the GCC–Singapore FTA, the GCC–EFTA FTA (Iceland, Liechtenstein, Norway, Switzerland) and the Oman–India CEPA, which entered into force on 1 June 2026. These give zero or reduced duty on many goods, not all goods: each product needs the right tariff line and proof of origin. The GCC–UK, GCC–South Korea, GCC–New Zealand and GCC–Pakistan agreements are concluded or negotiated but not yet in force, and GCC–China talks are ongoing. Status as of 10 October 2026.

Made in Oman is the national product identity mark issued by the Ministry of Commerce, Industry and Investment Promotion. According to the Made in Oman portal, a producer needs an industrial, agricultural or artisanal licence and at least 20% local content. There is currently no fee, and processing takes about 15 working days once the application is complete.

Not under that name. Official Omani visa catalogues reviewed by third-party sources in 2026 list no standalone freelance, self-employed or digital nomad visa. The usual routes are to set up your own Omani company that sponsors you, to qualify for an investor visa, or to apply for the 10-year Golden Residency, which requires a qualifying investment of at least OMR 200,000. Shati can help you compare the routes for your situation.

On living costs, yes. Numbeo data from October 2026 shows a one-bedroom city-centre apartment at about OMR 262 per month in Muscat against about AED 8,842 in Dubai, and overall living costs including rent about 43% lower in Muscat. Dubai is stronger on audience size, creator-specific permits and visas, and its 9% corporate tax above AED 375,000 is lower than Oman's 15% headline rate. Both have no personal income tax today.

It depends on what you do, and more than one authority is involved. Verified: under Ministerial Decision 619/2022, paid marketing or promotion of other people's goods or services on websites and social media needs a licence from the Ministry of Commerce, Industry and Investment Promotion (MOCIIP). It is held through a registered commercial company, applied for on the Invest Easy portal, and lasts up to three years. The gov.om service page (updated 18 November 2025) lists fees of OMR 6.5 for local and OMR 12.5 for foreign investment, while a March 2023 ministry statement said there were no fees at that time, so confirm the current fee. Promoting your own goods or services, and non-profit or voluntary work, are exempt. Separately, the Ministry of Information licenses media activity under the 2024 Media Law and its 2025 executive regulations, and in 2026 urged social media practitioners to complete licensing. Reported conditions for a personal media licence include Omani nationality. We found no licensing role for the Ministry of Culture, Sports and Youth for influencers. Confirm which licences apply to your activity with MOCIIP and the Ministry of Information before you publish paid content. Shati can help set up the company and licence.

Oman has no personal income tax on individuals today. If you work through your own Omani company, the company pays corporate income tax at 15%, or 3% if it qualifies as a small business (capital up to OMR 60,000, income up to OMR 150,000 and no more than 25 employees). PwC reports that a 5% personal tax on income above OMR 42,000 is planned from 1 January 2028, with regulations still to be issued. Your home country may also tax you, so take tax advice.