GTL Summary:

Cabinet Decision No. 39 of 2019, Article 12, establishes strict criteria for deducting bad debts. For a debt to be deductible, it must have been included in taxable income previously, be at least 24 months overdue, and the taxpayer must prove that collection was impossible despite legal efforts. An auditor's certificate confirming the write-off and an approved form attached to the tax return are required. If a bad debt is later recovered, it must be reported as income in the year of collection, ensuring accurate long-term financial reporting.

Document Type: ERS - Executive Regulations
Law: Income Tax Law 24 of 2018
Decision Number: executive-regulations-39-article-12
Year: 2019
Country: 🇶🇦 Qatar
Official Name: Article 12
Last updated at: 2026-02-23 12:13:40 UTC

SECTION 2 - TAX CALCULATION

Chapter 1 - Taxable Income

Article 12

Bad debts are deductible if they meet the following conditions:

  1. The bad debt must have been previously included in the taxpayer's taxable income in the year the debt was accrued.

  2. At least 24 months have passed since the debt was due.

  3. The taxpayer must have made adequate provisions to cover the bad debt.

  4. The taxpayer must demonstrate that the debt collection was not possible despite taking legal measures to collect it.

  5. The taxpayer must submit a certificate from the auditor stating that the debt has been written off the books according to accepted practices.

  6. A list of bad debts must be attached, using the form approved by the authority, when submitting the tax return for the relevant year.

  7. The taxpayer must include the debt in their income in the year it is collected if the debt is recovered after being considered bad.

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