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Saudi Arabia’s decision to cut taxes on Saudi Aramco to 50 percent from the current 85 percent will help bring the state-run oil producer closer to international standards, chief executive officer Amin Nasser said in a statement seen by Argaam.
King Salman issued a royal decree earlier today as part of preparations for Aramco’s initial public offering slated to happen next year. The IPO is expected to be the world’s largest equity offer.
Taxes for investments exceeding $100 billion (SAR 375 billion) will stand at 50 percent.
The tax cut on producers of oil and hydrocarbons across the kingdom is “positive,” as it comes as part of the kingdom’s efforts to diversify its economy from oil, he said.
Related News
Saudi Arabia lowers income tax rate for Aramco ahead of IPO |
Saudi finance minister says oil tax cut has ‘strategic benefits’ |
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