SAUDI ARABIA

Small firms exempt from expat levy

December 30, 2017

Abdulrahman Al-Misbahi



Okaz/Saudi Gazette

JEDDAH – Firms employing not more than five people will be exempted from the monthly expat levy, which will become effective from Monday, according to the Ministry of Labor and Social Development.

Firms employing up to nine foreigners will pay the levy for the number of workers exceeding five, provided the owner of the firm is a full-time employee, the ministry said in clarifications to queries it received through its Twitter page.

The ministry has said the segments of foreigners who enjoy exemption from deportation also will not pay. They include Palestinians with Egyptian travel documents, the Burmese, Turkistanis and the Baluch.

Foreigners working in branch offices of general recruitment firms and offices for hiring domestic help are also exempted.

The levy will not apply to citizens of all Gulf Cooperation Council (GCC) states, spouses of Saudi citizens and non-Saudi children of Saudi women.

The ministry clarified that the General Directorate of Passports will decide whether the levy should be applied on the dependents of workers who enjoy fee exemptions.

The ministry stated earlier that all expatriate would pay the levy at the time of issuance or renewal of the work permits.

According to the ministry statement, companies with a Saudi workforce of 50 percent or more will pay a levy of SR300 per month per expatriate worker in 2018. For companies employing more expatriates than Saudis, the monthly levy will be SR400 for the year. In 2019, this fee will increase to SR500 and SR600, respectively and in 2020 it will reach SR700 and SR800, respectively.


December 30, 2017
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