Saudi Arabia to implement new expat fees starting today

Saudi Arabia will start today, January 1, 2018, imposing new fees on expatriates, in line with the fiscal balance program approved in 2016.

Levy fees, which will be calculated on a 30-day basis, will be paid upon issuing and renewing work permits.

For workers whose work permits were renewed before the new fees' implementation, a new bill for the levy fees will be issued for the period falling in 2018.

The Saudi Ministry of Labor and Social Development will exempt eight categories from expat worker fees: female and male expats who are married to Saudis; dependents of Saudi women married to expats; microenterprises with up to five workers; other GCC nationals; and the labor force at recruitment agencies for domestic workers.

Nationalities with residency relief, namely the Myanmarese, Turkistani people, Palestinians holding Egyptian passports and The Baloch, also fall under these categories.

For small enterprises employing a maximum of nine people, four workers will be exempted from the levy, in case the owners are working on a full-time basis.

Saudi Arabia started last July imposing a monthly tax on expatriate family members and dependents, with a monthly fee of SAR 100 per expat dependent.

This will increase gradually by SAR 100 every year until 2020, amounting to SAR 400 per dependent per month in 2020.