GTL Summary:

Article 4 outlines extensive tax exemptions, including those for non-profit organisations, bank interest for individuals not conducting business, and public debt securities. Significant updates via Law 11/2022 exempt Qatari projects from capital gains on foreign immovable and movable property and foreign shares. It also exempts gross income of Qatari natural persons and resident legal persons wholly owned by Qataris. Partial exemptions apply to profits proportionate to Qatari ownership in resident companies. The article also covers artisanal, agricultural, and marine fishing activities, as well as navigation services based on reciprocity.

Document Type: Tax Law Article
Law: Income Tax Law 24 of 2018
Article Number: 4
Country: πŸ‡ΆπŸ‡¦ Qatar
Location: Section 2 - Scope of Taxation › Chapter 2 - Tax Exemptions
Order: 10
Last updated at: 2026-02-23 12:13:40 UTC

SECTION 2 - SCOPE OF TAXATION

Chapter 2 - Tax Exemptions

Article 4 [10]

Without prejudice to the tax exemptions provided by special laws or international agreements, or as determined according to Article 35 of this Law, the following incomes are exempt from tax:

  1. [Incomes of associations, private institutions, private charitable associations, and private institutions of public interest established according to the governing Law for any of them.] [G23]

  2. Interest and bank returns due to natural persons who do not conduct taxable activity in the state, whether they are residents or non-residents.

  3. Interest and returns on public debt securities and Islamic securities issued according to the provisions of the state's financial system Law, and bonds of public authorities and institutions.

  4. Capital gains arising from the disposal of real estate or securities by natural persons, provided the real estate or securities disposed of are not part of the assets of a taxable activity.

  5. Capital gains arising from the revaluation of company assets when presented as an in-kind share for contributing to the capital of a resident joint-stock company, provided the corresponding shares are nominal and are not disposed of before five years.

  6. [Capital gains realized by a Qatari project from the disposal of the following:

    1. Immovable property located abroad.

    2. Movable property that is part of the assets of a permanent establishment owned by the Qatari project abroad, including capital gains from transferring ownership of the permanent establishment, whether alone or with the entire project.

    3. Foreign shares or quotas or other rights.] [G24]

  7. [Fees of board members and other similar payments earned by a Qatari project as a board member of a company resident abroad.] [G25]

  8. Dividend profits and other income arising from them if the amounts distributed during the tax year are deducted from the following:

    1. Profits subjected to tax under the provisions of this Law.

    2. Profits distributed by a company whose profits are exempt from tax under the provisions of this Law or other laws.

  9. Gross income arising from artisanal activities that do not use machinery, with gross income not exceeding two hundred thousand (200,000) riyals annually, and with an average number of workers not exceeding three (3) during the tax year, conducted through a single establishment.

  10. The Cabinet may amend the exemption conditions specified in this clause based on the Minister's proposal.

  11. Gross income arising from agricultural or marine fishing activities.

  12. Gross income earned by non-Qatari companies for air or sea navigation services operating in the state, subject to reciprocity.

  13. Gross income of Qatari natural persons residing in the state.

  14. Gross income of legal persons residing in the state and wholly owned by Qataris.

  15. Profits of legal persons residing in the state in proportion to the shares of the following persons in them:

    1. Qatari natural persons.

    2. Legal persons wholly owned by Qataris.

    3. Legal persons partially owned by Qataris in proportion to their share of profits.

    The provisions of this clause do not apply to the shares of legal persons owned by the state, wholly or partially, directly or indirectly, and operating in the field of petroleum operations and petrochemical industries.

    Gross income arising from activities authorized for private bodies registered in the state, or registered in another state and licensed to operate in the state, within the limits of their non-profit activities.

    The non-Qatari investor's share in the profits of companies whose shares are publicly traded in the financial markets.

  16. The non-Qatari investor's share in the profits of investment funds whose units are publicly traded in the financial markets.

  17. The non-Qatari investor's share in profits from trading all securities, including units of investment funds listed for trading in the financial markets.

  18. The Regulation shall specify the conditions and controls for the exemption of incomes mentioned in this Article from tax.

Footnotes

[10](Amended by Law 2022/11)

GTL Notes

[G23]Inserted by Amending Law No. (11) of 2022. Consequential change in numbering from clause 2 to clause 5.

[G24]Inserted by Amending Law No. (11) of 2022.

[G25]Inserted by Amending Law No. (11) of 2022. Consequential change in numbering from clause 8 to clause 18.

Fast-loading version for search engines - Click here for the interactive version