The treaty entered into force on 6 October 2025 and will apply from 1 January 2026, setting out tax coverage, permanent establishment rules and Withholding Tax Rates.
The Qatar General Tax Authority announced that the income and capital tax treaty with Kuwait entered into force on 6 October 2025.
Signed on 1 June 2025, the agreement applies to Kuwaiti income taxes as well as Qatar’s income tax and corporate tax
The treaty provides that a permanent establishment will be deemed constituted if an enterprise carries on activities connected with the exploration of natural resources in a Contracting State for a period exceeding 12 months.
The Withholding Tax Rates are set at 0% for Dividends, 0% for Interest, 8% for Royalties, and 8% for Fees for technical services of a managerial, technical, or consultancy nature.
The treaty takes effect from 1 January 2026.
