The Saudi Advantage: RHQ Opportunities and Tax Incentives for MNCs in KSA

On 5 December 2023, the Ministry of Investment of Saudi Arabia (MISA), in collaboration with the Ministry of Finance and the Zakat, Tax and Customs Authority (ZATCA), unveiled a 30-year tax incentive package as part of the Regional Headquarters (RHQ) Program. This program is designed to attract multinational corporations (MNCs) to establish their Regional Headquarters in the Kingdom of Saudi Arabia (KSA). From 1 January 2024, companies eligible for the RHQ Program must have a Middle East and North Africa (MENA) Regional Headquarters (RHQ) in KSA to be able to contract with KSA government entities.

In light of this, Deloitte hosted an informative 40-minute webinar which provided a comprehensive overview of the RHQ Program. Our panel of experts discussed the intricacies of establishing RHQs in KSA, highlighting key features of the tax incentive package, specific activities and guidelines associated with the program, compliance considerations, and more. Furthermore, it delved into the implementation challenges and opportunities that corporations may encounter, offering valuable insights to assist businesses in navigating this new regulatory landscape.