Late Return Filing

Qatar imposes a late return filing penalty of QAR 500 per day, up to a maximum of QAR 180,000.

Late Tax Payment

The penalty imposed for late tax payment is 2% (increased from 1.5%, effective from 13 December 2018) of the tax due per month or part of a month until paid. The maximum is 100% of the tax due.

For QFC companies, the penalty imposed for late tax payments is 5% per year on unpaid tax.

Incorrect Filing

An interest penalty of 2% of the correct amount of tax due is imposed per month or part of a month until the tax dues are paid.

A QAR 10,000 penalty may apply to companies that avail of tax exemption but fail to submit tax returns and required documents within the specified time limit.

Providing fictitious, fraudulent or incorrect data may attract a penalty of up to 3 times the tax payable or imprisonment for one year or both.

Temporary Penalty Exemption Initiative

Qatar's General Tax Authority (GTA) announced a 100% financial penalty exemption initiative for the period 1 March 2025 to 31 August 2025. Eligible taxpayers are those who:

Register on the Dhareeba Tax Portal and maintain updated information such as company name, partner names, economic activity, addresses and contact numbers, ownership percentages, and nationality of the partners; and
File tax returns and financial statements as per the regulations and pledge to maintain full compliance over the next three years, i.e., fiscal years 2026, 2027, and 2028, by submitting returns and paying tax dues on time.

Failure to pay the outstanding tax dues within the exemption period can lead to re-imposition of penalties.

The following are not eligible for the exemption:

Petroleum companies subject to tax at the rate of 35% or higher;
Companies involved in legal proceedings for violating income tax or selective tax provisions, or for suspected tax evasion;
Companies having an average annual revenue of QAR 50 million or more during the years 2014 to 2023; and
Penalties already paid or those settled through an installment plan, before the initiative came into effect.

Taxpayers can apply for penalty exemptions through the Dhareeba Tax Portal. The GTA will communicate approval decisions directly through the applicants’ portal accounts after assessing applications on a case-by-case basis.

Detailed guidelines are published on the GTA website, which provide an overview of the initiative’s conditions, requirements, and application procedures.

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