Economy VAT contributes $896m to Oman’s state budget By Staff Writer August 9, 2022 Creative Commons Oman's VAT was introduced at a five percent rate Government to invest in health, education, housing and transport Value-added tax contributed nearly 345 million rials ($896 million) to Oman’s state budget, which reported a surplus of 784 million rials in first half of 2022, the Ministry of Finance said in its latest fiscal performance bulletin. Last year, VAT was introduced in Oman at a five percent rate under the GCC framework. Excise tax contributed 48 million rials. In addition, other revenue amounted to 671 million rials, including 392 million rials of dividends received from the Oman Investment Authority. The state budget 2022 estimates revenue collection at 3.16 billion rials, with excise tax and VAT contributing 535 million rials. Corporate tax is expected to contribute nearly 465 million rials in 2022. Development expenditure increased to 1.1 billion rials compared to budgetary figures, up by 200 million rials to be allocated for priority projects and economic and social impact. The government will allocate 650 million rials for implementing additional development projects in the Tenth Five-Year Development Plan (2021-2025). These projects will be implemented across various sectors such as health, education, housing, transport, tourism, and municipal.