SZTAC 37/2021/IR;2018/1576/ZW

The Zakat base for taxpayers is calculated using a specific method, one of the pillars of which is the deduction of net fixed assets and the like, regardless of their size or type, as long as they represent non-current assets which help in current and future production.

Background

On Tuesday 08/09/1442 AH corresponding to 20/04/2021 AD, First Appeals Chamber for Income Tax Interventions and Disputes formed according to Saudi Arabia Royal Decree No. 65474/1439 dated 23/12/1439 AH, held its session in its headquarter in the city of Riyadh city, to consider the appeal submitted on 21/07/1436AH, from the /…. Company on the decision of the First Instance Committee for Tax Zakat Objection in Riyadh, No. (19) for the year 1436 AH, issued in Objection No. (34/41) regarding the Zakat and Tax assessment for the years 2008 and 2009 AD, filed by the appeal parties regarding the decision in question, which conclusion was as follows:

First: Admit the objection in form

Secondly: On merits

The conclusion of the dispute by GAZT's acceptance of the taxpayer's point of view.