Foreign Tax Credit (FTC) Advisory

The Foreign Tax Credit (FTC) is a credit for income taxes paid to a foreign government as a result of foreign income tax withholdings. It is available to anyone with income from a foreign source whether from working or investment abroad.

In the GCC, FTC is applicable in Kuwait and Oman. In Kuwait, it is applicable where there is an allowance of credit in the DTAA. In Oman, FTC approval is given by the Director of Taxation on a base-by-case basis. It can be given even without a tax treaty with the source country.

Our tax experts guide you through the process by performing the following:

• Advice on claim of FTC under respective country tax law and DTAAs
• Advice on eligibility criteria for FTC and compliance/ document obligations