Cabinet Decision No. 39 of 2019, Article 51, emphasizes the requirement for substantial economic activity and a real presence in Qatar for all projects. It prohibits residents from facilitating arrangements that generate profits without reflecting actual substantial activity within the state. This provision is a key part of Qatar's effort to align with global standards on economic substance, ensuring that entities operating in the state are legitimate businesses contributing to the economy rather than mere shells designed for profit shifting or tax minimization.
Document Type: ERS - Executive Regulations Law: Income Tax Law 24 of 2018 Decision Number: executive-regulations-39-article-51 Year: 2019 Country: 🇶🇦 Qatar Official Name: Article 51
Last updated at: 2026-02-23 12:13:40 UTC
[Every Qatari project must engage in substantial activity and have a real presence in the state. Residents in the state must not facilitate structures or arrangements aimed at generating profits that do not reflect substantial activity within the state.][G26]