I. Scope of the transfer pricing Declaration requirement

Q1. What is the scope of the reporting obligation under Article 56 of the Executive Regulations of the Income Tax Law?

In accordance with the provisions of Article 56 of the Executive Regulations (ERs) of the Income Tax Law (ITL) and Articles 2 and 3 of the Decision of the President of the General Tax Authority (GTA) No. 4 of the year 2020 of July 16, 2020 relating to the transfer pricing (TP) declaration and the master and local files, entities resident in Qatar must submit a declaration relating to their TP when they meet the following conditions:

• the annual tax-free turnover of these entities or the gross assets appearing on their balance sheet is greater than or equal to QAR10,000,000; and

• these entities are associated to other entities established in Qatar or abroad.

Important:

• 1- For the purposes of applying the aforementioned provisions, an entity is deemed to be associated to another entity, resident in Qatar or abroad, in the following cases: