In a first-of-its-kind initiative, the Saudi Ministry of Commerce granted establishments that violate National Anti-Commercial Concealment law an opportunity to correct their status; allowing a grace period till August 23.
The correction period provides multiple options for both Saudi citizens and residents who violate the provisions of the law. Those who approach the Ministry with a request to correct their status will be exempted from the penalties prescribed in the law and the consequences thereof, and of the retroactive payment of income tax.
However, penalties will be on those arrested by the ministry for committing a crime or violating provisions of the law before submitting a request to rectify their status, or whoever referred to the Public Prosecution or the competent court.
Minister of Commerce Majid al-Qasabi tweeted about the grace period; saying the ministry had started working on a regulation to rectify the conditions of those who violate the law; adding: “It is a valuable chance for those wishing to correct their status. I also invite them to make use of its advantages and comply with the law.”
Violators have the option to incorporate a Saudi or non-Saudi regular partner to continue to work in the firm. Besides, selling or registering the ownership of the firm in the name of another; or transfer the ownership to a non-Saudi after obtaining an investment license.
The government agencies participating in the National Anti-Commercial Concealment Program also affirmed their full readiness to support all applicants; requesting to correct their status and become regular investors. This is in accordance with the options stipulated in the regulations for correcting the status.