VOL. XLVI

No 18

05-May-2003

SAUDI ARABIA

Saudi Investment Chief Criticizes High Tax On Foreign Firms

A new law stipulating that foreign firms operating in Saudi Arabia should pay a 25% tax on net profits has come under intense criticism by Prince 'Abd Allah ibn Turki, Chairman of the Saudi Arabian General Investment Authority (SAGIA). He said that fixing the tax on foreign firms at 25% (which was however reduced from 45% by the Shura Council) would not be conducive to promoting foreign investment,...