Arabic
  • Home
  • Expertise
    • BCDR-AAA Disputes
    • Corporate, Commercial & Investment Law
    • Construction & Real Estate Disputes
    • Energy Disputes
    • International Arbitration
    • Commercial Litigation
  • People
    • Professor Adnan Amkhan Bayno
    • Aysha Abdulla Mutaywea
    • Marriam Mohammed Malik
    • Isra Abdulkarim Alaradi
    • Ameena Saleh
  • Resources
  • Careers
  • Beyond Law
  • News
  • Contact Us
  • Home
  • Expertise
    • BCDR-AAA Disputes
    • Corporate, Commercial & Investment Law
    • Construction & Real Estate Disputes
    • Energy Disputes
    • International Arbitration
    • Commercial Litigation
  • People
    • Professor Adnan Amkhan Bayno
    • Aysha Abdulla Mutaywea
    • Marriam Mohammed Malik
    • Isra Abdulkarim Alaradi
    • Ameena Saleh
  • Resources
  • Careers
  • Beyond Law
  • News
  • Contact Us

Lebanon Parliament passes Oil and Gas Taxation Law

  • Posted by Sara Alawi
  • On December 5, 2017
  • 0 Comments

On 19th September 2017, the Lebanese parliament passed a new legislation regarding the regulation of taxes for oil and gas operations in Lebanon for Off-shore Exploration of Oil Blocks.  The Law No. 57/2017 was published on 12 October 2017 in the official gazette.  The main highlights of the Law are:

  • Scope of Application: The new law is imposed on all sale and service proceeds relating to petroleum based by-products.
  • Transfer of Deficits: Companies with oil and gas rights or operations are now permitted to transfer their fiscal deficits to the following years.
  • Percentage of Profits: The law stipulated that a 20% income tax will be implemented on all profits generated by Oil & Gas companies registered in Lebanon.
  • Structure of Companies: The law stipulates that companies undertaking oil and gas operations and service must be registered as Joint Stock Companies. However, the law is only applicable to newly joint companies and does not extend to existing national companies.
  • Income Taxes: Income tax has been imposed on salaries and wages of employees who work in oil and gas companies. Pension funds and funds relating to work injuries are excepted from this tax.
  • Indirect taxes: An additional indirect tax of 5 million Lebanese Liras has been imposed on all contracts entered into by an oil and gas companies.
  • Penalties: Pursuant to the new law, strict and severe penalties have been imposed on company in Lebanon. Penalties range from 5 million Lebanese Lira’s and go up to 100 million Lebanese Liras depending on the offense.

The full text of the law can be found here.

 

0 Comments

Recent Posts
  • Mena Chambers Bahrain Contribution to Awal Women Society Symposium
  • The Annual Mena Chambers Excellence Award
  • Resident Partner appointed to the International Court of Arbitration

BCDR-AAA Launches New Arbitration Rules

Previous thumb

Cassation Court disregards arbitration clause and imposes BCDR-AAA mandatory jurisdiction

Next thumb
Scroll

Mena Chambers Bahrain

Office 131, 13th Floor,
YBA Kanoo Tower,
Road 1703
Diplomatic Area
Bahrain
Tel: +973 1783 0338
manama@menachambers.com

–
  • Sir Eli
  • The Mena Chambers Art Collectiion
Follow us