Question 1

What licences does a new business in Oman need?

Accepted Answer

At minimum: Commercial Registration (CR) from MOCI, OCCI membership, and a municipality trade licence. Sector-specific licences (MOH, MOT, MoHE, etc.) depend on your activity.

Question 2

What is Omanisation and how does it affect my business?

Accepted Answer

Omanisation (under Oman's Labour Law) requires businesses to hire a minimum percentage of Omani nationals. The required percentage varies by sector — food & beverage is typically 5–10%, while professional services may require 15–20%.

Question 3

Is VAT applicable to my business in Oman?

Accepted Answer

VAT at 5% applies to businesses with taxable supplies exceeding OMR 38,500 annually. Healthcare, education, and basic food items have specific exemptions. Register via the Tax Authority portal.

Question 4

Do I need to register with the Social Protection Fund (SPF) in Oman?

Accepted Answer

Yes. Employers must register Omani employees with the Social Protection Fund (SPF — which replaced PASI under Royal Decree 52/2023); cover for non-Omani employees begins branch by branch from each branch's start date. For Omani employees, contributions are calculated on the gross wage: 8% employee; 14.5% employer from 19 July 2026, when the 1% sick-leave branch starts, with per-branch rates, effective dates, and a monthly ceiling applying to some branches.

Question 5

How long does it take to get a Commercial Registration (CR) in Oman?

Accepted Answer

CR issuance via Invest Easy (MOCI) typically takes 1–3 business days for standard activities. Regulated activities (healthcare, education, food) require additional ministry approvals and may take 4–12 weeks.

Business Compliance Checker

Step 1: Where is your business right now?