GTA Extension Period Coming To An End

The extension granted by the General Tax Authority (GTA) to all Qatari companies to file their financial statements for 2020 is coming to an end by December 31, 2021. The financial statements were due for filing in the first quarter of 2021; however, due to the business disruptions caused by the Covid-19 pandemic, the GTA issued a circular extending the deadline until the end of 2021. Although exempt from income tax, the circular stated that companies owned by Qatari and GCC nationals are also required to submit their financial statements before the deadline. The circular reiterated that companies that fail to do so will face financial penalties in line with the Income Tax Law and its executive regulations. The Law stipulates financial penalties at the rate of QR 500 for each day of delay, up to a maximum of QR 180,000.