Qatar Free Zones (QFZ) include two free zones that are suitable for the following activities: new technologies (including industrial and consumer equipment and food, clean technology and energy, information and communication technology, food and agricultural technologies, healthcare, pharmaceuticals, media technologies and transport), industry, chemical industry, logistics and shipping.
1 – Ras Bufontas – a free zone covering an area of 4 sq. km and located approximately 6 km from Hamad International Airport. This free zone is intended for such economic sectors as logistics, consumer goods manufacturing, light industry, technology and applications, and pharmaceuticals.
2 – Umm Al Houl – a free zone located near Hamad Port, with an area of 30 sq. km. It is intended for maritime industries, polymers and plastics manufacturing, other manufacturing, and logistics.
There are 2 types of legal entities that can be registered in the free zone:
Companies are most commonly registered for trading activities or to be used as a logistics hub.
Permitted activities in the free zone:
A company must have at least 1 manager and at least 1 shareholder. The shareholder and the manager can be the same person. There are no additional requirements for the manager. After company registration, the manager is required to obtain Qatari residence.
There is no minimum share capital of the company (it is discussed with the free zone when submitting the company registration form).
The applicant is also required to provide a business plan for the future company.
1) It is necessary to select:
Some activities require additional approval.
2) Paying fees
3) It is necessary to provide documents for the managers / members / attorneys (originals or notarized copies):
The shareholders need to additionally provide personal data in the form of a letter: phone number, email, residential address, country of residence, mother’s name, marital status, religion, and nationality.
The shareholders will also need to sign a contract for administration and a client information form (for compliance check).
4) Company registration as such:
1. The applicant needs to submit an electronic or paper copy of the application for registration and pay government fees. After assessment of the submitted application, QFZ will issue a Letter of Intent.
2. After receiving the Letter of Intent from the free zone, one can proceed with submitting the application for registration of a company and a licence (Application for Registration & Licence), which must be signed by the proposed manager of the company.
3. After receiving a scanned copy of this application form, the free zone will prepare draft Articles of Association and send it to the applicant for execution.
4. To finalise the registration in the free zone, it is necessary to provide a resolution on the establishment of the company signed by the manager or shareholder, and the company’s articles of association signed by all shareholders. The resolution and articles must either be signed by the manager or all shareholders before a representative of the Qatar Free Zones Authority (QFZA), or be notarized and legalized by a Qatari consulate.
The resolution and articles must be accompanied by supporting documents for individuals (shareholder and manager):
The free zone can proceed with the registration of a company on the basis of scanned copies of certified documents provided there is a letter of undertaking that the originals will be submitted before the licence is issued.
5) Once the company is registered, it is necessary to sign a lease agreement so that the free zone can issue a licence to do business. The premises for business are offered by the free zone itself.
For a licence to be issued, it is necessary to provide the free zone with supporting documents: a business plan, brief description of the proposed business, short CV, and confirmation of payment of government fees.
Upon registration, the free zone authority issues the following documents:
The total time to register a company in QFZ is 2 to 3 weeks, on average.
Qatar does not have such a concept as permanent residence. Qatar’s migration rules require obtaining a residence permit, which in practice is similar to a permanent residence document.
A visa can be obtained by making an employment contract with a company – work visa.
The application for a residence visa includes the following steps (a visa can only be applied for after the company is registered):
1. Making a Temporary Computer Card
When submitting an application (must be in Arabic, signed by the authorized signatory and stamped with the company seal) for a Temporary Computer Card, authorized signatory must be in Qatar (on a business visa, family visa or visa on arrival). The application will need to be accompanied by a copy of the Company Registration certificate, a copy of the company licence and a copy of the authorized person’s passport (with a copy of the visa).
The card is necessary for the company to be able to apply for work visas and residence permits (RP) for its employees in the future. The card is issued in 10 working days, however, there is an expedited procedure that takes 5 working days
After a residence permit (RP) is received, a Permanent Computer Card is issued.
2. Obtaining a work visa and residence permit (RP)
A work visa is made in 10 days. There is an expedited procedure that takes 2 working days.
Some professions (such as engineering, accounting, and legal professions) require the provision of proof of the relevant education (a diploma need not be certified).
The applicant needs to:
After completion of this stage, a Qatar ID is issued to the applicant for a period of 1 to 2 years and can subsequently be renewed (QID must be renewed 6 months before the ID card expiry date). The card is ready in 10 working days.
A company is required to annually renew its licence by paying the relevant fee, and its lease agreement. If a company does not pay the licence renewal fee, QFZ may revoke the licence.
A company is required to file annual Ultimate Beneficial Owner (UBO) reports containing details of all its beneficial owners, as well as other relevant additional information (for example, about the nominees in the company structure).
The company’s Computer Card is also renewable annually. The card renewal takes 3 days.
Commercial Companies Law No. 11 requires companies registered in Qatar to prepare their financial statements in accordance with International Financial Reporting Standards (IFRS).
The first financial period (coincides with the tax period) may last more than 12 months or less, but it must not be less than 6 months or more than 18 months from the company’s incorporation date.
The tax return and supporting audited financial statements must be made in QAR (Qatari riyal).
Generally, all companies must file tax returns within 4 months of the end of the accounting period.
Companies wholly owned by Qatari residents or other Gulf country nationals are exempt from corporate income tax, but are required to file tax returns and audited financial statements with the tax authorities if their capital is QAR 2 000 000 or more or if their annual income is QAR 10 000 000 or more.
LLCs are required to keep accounting records at their registered office for 6 years.
The QFZ tax regime provides a 20-year tax holiday for businesses (zero corporate income tax).
Qatar does not levy personal income tax on wages or benefits of individuals, regardless of nationality or residence.
The standard rate of corporate tax for capital gains is 10%.
The general withholding tax rate (dividends, interest, royalties) is 0%, 5% and 5% respectively.
There are no inheritance, property or gift taxes in Qatar.
Currently, Qatar does not impose VAT, but this is expected to change in the near future.
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Services
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Fees (USD)
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Registration of a company in Qatar Free Zones (QFZ), including:
- company incorporation (name check; collection, preparation and submission of documents for incorporation; selection of a licence; delivery of original corporate documents); - liaising with government authorities regarding all matters of the company; - maintaining the company’s online service portal with the free zone; - monitoring changes in legislation, informing about changes and the need to revise the activities/structure of the company; - postal services (collection/delivery of documents and other correspondence); - company seal. This fee also includes the government fees charged by the free zone for registering a company, issuing a licence for 1 activity, and the minimal office (shared desk). Other options – upon request. |
from 9 500
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Annual renewal of the company, including:
- liaising with government authorities regarding all matters of the company; - maintaining the company’s online service portal with the free zone; - monitoring changes in legislation, informing about changes and the need to revise the activities/structure of the company; - keeping track of the deadlines and making payments for the company renewal and the office lease agreement; - postal services (collection/delivery of documents and other correspondence). This fee also includes the government fees charged by the free zone for renewing the licence and the minimal office (shared desk). Other options – upon request. |
from 7 650
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Obtaining a visa and Residence Permit
This is the cost of one work visa and residence permit, including: - payment of all government fees (Computer Card, Work Visa Under the Sponsorship of Company, Qatar ID); - preparing, executing and agreeing the necessary documentation with the government authorities; - accompanying the client to a medical clinic for medical examination; - accompanying the client to the government authorities for biometrics (fingerprinting); - submitting documents for issuing and stamping a visa; - filing an application for and obtaining a residence card; - transport expenses. |
4 200
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Renewal of Qatar ID (Residence Permit)
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3 800
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Assistance with opening corporate and personal bank accounts:
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= Services of:
- analysing the company’s structure, its activities / business model / turnover OR, in the case of a personal account, information on the individual’s sources of funds / residence / account balance; |
500
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= Services of:
- collecting and analysing the corporate and other documents required to be submitted to the selected bank; |
2 750
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Compliance fee
Payable in the cases of: • incorporation of a company, • renewal of a company, • liquidation of a company, • transfer out of a company, • issue of a power of attorney to a new attorney, • change of manager / shareholder / beneficial owner, • signing of documents. |
350 (standard rate, includes the check of 1 individual)
+ 150 for each additional individual (manager, shareholder, or beneficial owner) or legal entity (manager or shareholder) if such legal entity is administered by GSL + 200 for each additional legal entity (shareholder) if such legal entity is not administered by GSL 450 (rate for high-risk companies, includes the check of 1 individual) 100 (signing of documents) |
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Keeping the company’s accounting records
Maintaining a systematic archive of company documents and providing them to the client upon request |
200 / hour
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Preparing financial statements, conducting an audit, and submitting financial statements to the government authorities
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400 / hour[2]
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Tax advice on VAT and other matters
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400 / hour
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[1] The fees are valid as of July 2024.
[2] The fees for preparing financial statements and conducting an audit are charged based on the time spent at hourly rates ranging from USD 100 to USD 400 (depending on the type of work and qualification of a specialist involved).