Saudi Arabia: 30-year Corporate and Withholding Tax Exemption Under RHQ Program
December 7, 2023
The Ministry of Investment of Saudi Arabia has announced that businesses that set up a regional headquarters in Saudi Arabia will be eligible for a 30-year exemption from all corporate income and withholding taxes that arise in relation to approved Regional Headquarters’ (RHQ) business activities as issued on their license. These incentives will apply from the beginning of the RHQ program when it goes into effect on January 1, 2024. The program was originally announced by the Saudi government in February 2021 and is part of ongoing efforts to attract foreign investment and enhance the country’s business landscape. As part of this program, Saudi authorities will significantly reduce their contractual arrangements with those foreign companies that do not have regional headquarters in Saudi Arabia. Only limited exemptions will apply. To date, Saudi Arabia has issued licenses to over 200 companies under the RHQ program.
This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].
Explore more at Fragomen
Blog post
Media mentions
Senior Associate Isabel Schnitzler outlines the key compliance considerations for employers with employees working across the EU.
Podcast
Associates Julia Manacher and Stephanie Weaver examine immigration issues emerging in a popular reality television series, including K-1 visa denials, consular non-reviewability, fraud findings and changing adjudication policies.
Blog post
Manager Dr. Adela Schmidt examines common misconceptions in German citizenship law, including birthright citizenship, dual citizenship, citizenship by descent and naturalization processing, and explains why eligibility often depends on specific legal requirements, timelines and documentation.
Awards
Partner Audrea Golding, Senior Associate Kyle Sommer and Senior Talent Development Director Wendy Milici have been named finalists in the 2026 TLC Lions Human Awards Americas, recognizing their contributions to human-centered leadership, workplace culture and inclusion.
Media mentions
Fragomen and SICPA have launched a global joint venture to develop an end-to-end digital identity platform that enables secure identity verification, document authentication and verifiable credential management.
Media mentions
Senior Counsel Mitch Wexler discusses how potential changes to H-1B visas, employment-based green cards and OPT could impact employers’ workforce planning and compliance obligations.
Media mentions
In a Leaders in Motion interview with World Business Travel Forum, Partner Ali Haider and Nomadic CEO Carsten Østberg discuss recent travel and mobility developments across the Middle East and practical considerations for employers managing cross-border talent in the region.
Media mentions
Partner Rachel Beardsley explains how new DHS guidance clarifies that dairy employers may use the H-2A program when they can demonstrate a temporary or seasonal labor need.
Fragomen news
Fragomen and SICPA announced the formation of a global joint venture to advance next-generation digital identity solutions for governments, enterprises and individuals.
Blog post
Senior Associate Kyle Sommer and Adam Schwartz, Director in the Global Mobility practice at Andersen, discuss how immigration and tax considerations intersect across common US immigration classifications and why early coordination can help travelers, employers and advisors reduce compliance risks and make more informed mobility decisions.
Blog post
Media mentions
Senior Associate Isabel Schnitzler outlines the key compliance considerations for employers with employees working across the EU.
Podcast
Associates Julia Manacher and Stephanie Weaver examine immigration issues emerging in a popular reality television series, including K-1 visa denials, consular non-reviewability, fraud findings and changing adjudication policies.
Blog post
Manager Dr. Adela Schmidt examines common misconceptions in German citizenship law, including birthright citizenship, dual citizenship, citizenship by descent and naturalization processing, and explains why eligibility often depends on specific legal requirements, timelines and documentation.
Awards
Partner Audrea Golding, Senior Associate Kyle Sommer and Senior Talent Development Director Wendy Milici have been named finalists in the 2026 TLC Lions Human Awards Americas, recognizing their contributions to human-centered leadership, workplace culture and inclusion.
Media mentions
Fragomen and SICPA have launched a global joint venture to develop an end-to-end digital identity platform that enables secure identity verification, document authentication and verifiable credential management.
Media mentions
Senior Counsel Mitch Wexler discusses how potential changes to H-1B visas, employment-based green cards and OPT could impact employers’ workforce planning and compliance obligations.
Media mentions
In a Leaders in Motion interview with World Business Travel Forum, Partner Ali Haider and Nomadic CEO Carsten Østberg discuss recent travel and mobility developments across the Middle East and practical considerations for employers managing cross-border talent in the region.
Media mentions
Partner Rachel Beardsley explains how new DHS guidance clarifies that dairy employers may use the H-2A program when they can demonstrate a temporary or seasonal labor need.
Fragomen news
Fragomen and SICPA announced the formation of a global joint venture to advance next-generation digital identity solutions for governments, enterprises and individuals.
Blog post
Senior Associate Kyle Sommer and Adam Schwartz, Director in the Global Mobility practice at Andersen, discuss how immigration and tax considerations intersect across common US immigration classifications and why early coordination can help travelers, employers and advisors reduce compliance risks and make more informed mobility decisions.
