Local Expertise, Global Standards
Iraq|UAE|KSA

Taxation

Introduction

Our business lawyers at Muayad & Associates have been serving clients for three decades. We know the importance of tax and how crucial this legal obligation is to the successful operation of your business. Whether you’re a registered company or not, tax compliance is required if you operate in Iraq. If you don’t conform to the Iraqi taxation law, it can expose your business to hefty penalties and serious legal complications. Therefore, you require Iraq Taxation services.

As the tax landscape is quite complex, foreign companies can make it difficult to comply with the regulations, making it necessary to acquire a withholding taxation advisory in Iraq. This is where we come into the picture. We have established a dedicated team of business lawyers focused on helping clients meet all their tax obligations successfully. Our tax practice offers quality and cross-border taxation advice to foreign companies operating or intending to start their operations in Iraq and the Middle East region. Our clientele includes multinational corporations, financial institutions, private equity groups, real estate companies, family offices, and banks to name a few. We provide services for personal income tax and withholding tax advisory in Iraq.

When it comes to tax advisory services, we go above and beyond to serve our clients across industries. So, whether you operate in real estate, healthcare or telecom, we can assist you with all your tax and legal requirements.

Iraqi Tax Obligations

At Muayad & Associates, we strive to help our clients develop a solid understanding of the Iraqi tax obligations. To help you get started, Iraqi tax obligations fall under three categories:

  • EIT (Employee Income Tax)—Employee income in Iraq (local or international) is subjected to tax, and deductions are provided in Tax instruction Number 1 of 2007.
  • CIT (Corporate Income Tax)— Similarly, corporate income tax is levied on all taxable profits with a corporate tax rate between 10 and 15 percent. However, for oil and gas companies, the tax rate is 35 percent.
  • Withholding Tax —This tax is levied when one company awards a subcontract to another. As per the law, it is required to act as a withholding agent and retain a fixed amount of tax from the subcontractor’s payment. The tax rate is between 1.8 percent and 10 percent.

Tax Advisory Services—Areas of Specialization

If you have a business in Iraq and require tax advisory services, feel free to contact us. We can advise you on and assist you in various areas of tax such as:

  • Tax structuring, SPA support, and due diligence with mergers and acquisitions
  • Corporate tax
  • VAT
  • Withholding taxes
  • Transfer pricing
  • Custom duties

 

Moreover, we also provide:

  • Legal advice on tax matters in Iraq such as tax exemptions, contract taxability, and tax amounts
  • Advice on tax compliance
  • Preparation and filing of financial statements with tax benefits
  • Efficient tax and investment structuring
  • Assistance on tax disputes and litigation
  • Guidance on the requirements of opening a taxation file with the general commission of tax in Iraq upon company registration
  • Compliance check for legal requirements when doing business in Iraq
  • Assistance with obtaining tax identification number and receiving a tax clearance letter from the general commission.

For more information or assistance, contact us today. Schedule a free consultation to discuss your tax and legal requirements.

Get in Touch

Our attorneys work in synergy, ensuring that we confidently and knowledgeably respond to any legal aspect across the region and provide you with quality advice and guidance for the best outcome.