Middle East continues to be a region that embraces less tax frameworks claim compared with the global average, with an average total tax rate in the region, 24.2%, and the average number of payments to 17 batch, with an average compliance period of 160 hours, according to the report «paying taxes» The World Bank and the company «PWC».
At the global level, the report concludes that the total tax rate fell by 0.1 percentage points from last year. The time required to comply with the tax requirements of 261 hours, which is less than two hours to comply with the previous year's rate.
And measures the tax system to pay tax impact on local companies that comply with the laws and regulations of the local tax in 189 economies around the world report. The report included small and medium-sized companies have the specific considerations were intentionally selected to ensure the comparability of its business all over the world based on the ideals likewise.
According to the report, the total tax rate in the Middle East has seen a slight increase by about 0.2 percentage points compared with last year, while the sub-indices of the compliance period and the number of payments for the same period have not changed. In 2014, two of the bypass within three ten economies of the world average for the Middle East -binma total tax rate increased total tax rate in Syria and Iran, in addition to the six economies of the regional average, including Iraq, Jordan, Lebanon and Yemen. And occupied Kuwait ranked 11 among the top 50 ranking in the world.
At the global level, the electronic filling of tax declarations and payment-mail of the most common reform measures, which resulted in the facilitation of paying taxes for mid-size companies in the world, but the focus has shifted from reducing tax rates on companies to adopt technological ways to reduce the burden of compliance.
The report also shows that low-income countries still face the biggest challenges with regard to the reform measures.
Commenting on the report, Dean Kern, a partner and head of tax and legal services in the Middle East PWC has said: «The payment of taxes is a key indicator report for governments to help them restructure their discussions on economic policy. In light of the recent proposal made by the Economic Cooperation and Development (OECD) for the modernization of international tax system, the region will witness rapid development and transformation, while retaining the tax reform as a key issue for governments in the region. While the Middle East occupies the top ranked with respect to easily pay taxes, the report concludes that the region still has room for improvement, particularly in terms of the use of mechanisms to provide a tax return and payment-mail. »
It concludes Tsudaidaldharaib 2016 report that workers mandatory taxes and contributions paid by employers represent 59 of the average total tax rate in the region%, which is the most important contributor to the total tax rate in most economies. And achieved a 39% tax profits, while the other 2% tax formed only of average total tax rate in the region. In spite of the slight increase on the total tax rate in 2014, the region is characterized by being easier regarding the payment of taxes, where it has the lowest total tax rate and a shorter period for compliance, and characterized all the sub-indices of stability since 2004.
Arrange for the countries of the Middle East among the top 50 worldwide ranking: