Qatar’s General Tax Authority (GTA) has introduced crucial updates to the Withholding Tax (WHT) filing process through the Dhareeba Portal, changes that directly impact how businesses interact with foreign suppliers and service providers. These updates tighten compliance requirements, increase documentation accuracy, and introduce a mandatory Withholding Tax Contract Declaration process.

For businesses operating in Qatar, this is not just a procedural change. It is a regulatory shift that demands proactive action to avoid penalties, delays, and tax scrutiny.

This article explains the latest updates, who is affected, the risks of non-compliance, and what steps companies must take to remain fully aligned with Qatar’s tax regulations. It also highlights how HLB AG supports businesses with expert WHT compliance and Dhareeba portal filing.​

What Changed? Understanding the New Withholding Tax Requirements in Qatar

The General Tax Authority now requires all entities to submit a Withholding Tax Contract Declaration for every contract, purchase order (PO), or invoice involving a non-resident service provider.

This declaration must be filed before submitting your WHT statement.

The goal is to enhance transparency around cross-border service transactions and ensure accurate reporting of taxable payments made to foreign entities.

The 30-Day Deadline

You must submit the contract, PO, or invoice within 30 days from the date you receive it from the foreign service provider.

Missing this deadline exposes businesses to:

• Late filing penalties
  
• Compliance violations
  
• Delayed WHT statement submission
  
• Higher chances of GTA audits or scrutiny
  

This update is now in effect, making immediate compliance essential.

Why the GTA Introduced This Update

Qatar’s tax authority is strengthening WHT compliance for several key reasons:

1. Prevent Underreporting of Payments to Non-Residents
Many companies previously filed WHT statements without submitting underlying contract documentation. The new process ensures transparency and accuracy.

2. Align With International Tax Standards
Qatar continues to enhance its tax framework in line with global practices, focusing on cross-border service taxation.

3. Improve Consistency in Dhareeba Portal Filings
Centralizing the contract declaration process helps reduce errors and improves audit trails.

4. Support Qatar’s Anti-Avoidance Measures
By reviewing contracts upfront, the GTA ensures correct classification of taxable services.

This update is part of the GTA’s broader effort to enhance compliance and protect revenue streams associated with foreign service payments.​

Who Is Affected by This New WHT Requirement?

The new Dhareeba requirement affects:

• All businesses operating in Qatar (registered taxpayers under the General Tax Authority on Dhareeba)
  
• Companies receiving services from non-resident providers
  
• Businesses issuing POs, contracts, or invoices to foreign suppliers
  
• Groups making intercompany cross-border service payments
  
• Entities with ongoing or large-value foreign service contracts
  

If you engage with any non-resident entity—consultants, IT providers, marketing agencies, technical service firms, engineering experts, etc.—you are impacted.

What You Need to Do: Step-by-Step Compliance Checklist

To help companies adapt smoothly, below is a simplified compliance checklist aligned with the GTA’s requirements.

1. Register All Contracts, POs, or Invoices on Dhareeba

Before filing your WHT statement, you must declare

• Contracts
  
• Purchase Orders
  
• Invoices

received from non-resident service providers.

Key Compliance Rules

• Submit within 30 days from the date of receiving the document.
  
• Ensure the accuracy of details such as contract value, scope, service category, and taxable value.
  
• Upload supporting documentation clearly and correctly.
  

Errors during this stage may result in filing delays or additional queries from the GTA.

2. Wait for GTA Approval Before Filing WHT Statements

Once your Contract Declaration is submitted, it is reviewed by the General Tax Authority.

During this stage:

• Track your submission status through the Dhareeba portal
  
• Respond promptly to any revision requests
  
• Avoid filing your WHT return until approval is granted
  

Your WHT statement will only be considered valid after the GTA approves your underlying contract or PO declaration.​

3. File Accurate and On-Time WHT Statements

After approval, proceed with your Withholding Tax filing.

To stay compliant:

• Calculate withholding tax based on service type
  
• Ensure correct application of Qatar’s WHT rules
  
• Report payments made to foreign entities accurately
  
• File within the stipulated deadline to avoid late filing penalties
  

Mistakes in this step may trigger audits, penalties, or correction notices.

4. Maintain Complete Documentation for Tax Audits

Given the GTA’s increased scrutiny, documentation must be:

• Complete
  
• Accessible
  
• Organized
  
• Audit-ready
  

This includes:

• Contracts and POs
  
• Service invoices
  
• Payment proofs
  
• Tax computations
  
• Correspondence with foreign vendors
  

Well-prepared documentation reduces compliance risk and strengthens audit readiness.

5. Align Operations With Qatar’s Tax Regulations

With this update, tax compliance must become an integrated part of your internal processes.

Strengthen Internal Processes By:

• Training teams on WHT rules and Dhareeba requirements
  
• Creating internal approval workflows for foreign service payments
  
• Ensuring procurement and finance teams coordinate filings
  
• Using tax advisory support for complex cases
  

Smooth coordination helps avoid last-minute filing bottlenecks.

What Are the Risks of Non-Compliance?

Businesses that fail to comply with the updated WHT rules may face significant consequences.

1. Penalties for Late Filing
Missing the 30-day deadline or WHT filing deadline results in financial penalties.

2. GTA Inquiries or Audits
Incorrect or missing contract declarations may trigger detailed reviews.

3. Delayed Tax Clearance Certificates
Non-compliance can impact corporate tax submissions and tax clearance processes.

4. Business and Tender Delays
Government-related entities may require proof of compliance for contract approvals.

5. Higher Administrative Burden
Rectifying missing declarations requires additional time and documentation.

Given the importance of WHT compliance in Qatar’s regulatory landscape, businesses are strongly advised to maintain timely filings and accurate submissions.​

Best Practices to Ensure Smooth WHT Compliance

To help companies minimize risk, here are recommended best practices:

1. Implement Real-Time Tracking for Foreign Service Documents
Monitor when contracts, POs, and invoices are received to avoid missing the 30-day deadline.

2. Centralize WHT Responsibilities
Assign a dedicated tax manager or team to handle Dhareeba submissions and filing reviews.

3. Conduct Periodic Internal Reviews
Quarterly compliance checks help identify discrepancies early.

4. Use Accurate Tax Classification
Ensure foreign services are correctly identified as taxable or non-taxable under Qatar’s WHT rules.

5. Seek Professional Guidance for Complex Transactions
Cross-border arrangements often involve nuanced tax implications.

HLB AG’s tax specialists help companies navigate these complexities with confidence.

How HLB AG Supports WHT Compliance in Qatar

HLB AG provides expert tax advisory and compliance services to ensure businesses stay ahead of regulatory changes, including the latest WHT update.

Our Services Include:

• End-to-end support with Dhareeba portal processes
  
• Preparation and submission of WHT Contract Declarations
  
• Review of contracts, POs, and invoices for WHT impact
  
• Accurate calculation and filing of withholding tax
  
• Advisory on cross-border service arrangements
  
• Tax compliance and audit preparedness
  
• Ongoing monitoring of GTA updates​

With deep experience in Qatar’s tax framework, HLB AG helps organizations avoid penalties, reduce compliance risk, and maintain smooth business operations.

FAQs: Withholding Tax Updates in Qatar

1. Do all companies need to file a Contract Declaration?
Yes. Any business engaging a non-resident service provider must file contracts, POs, or invoices within 30 days.

2. What happens if I file my WHT statement without submitting the declaration?
Your WHT statement will be rejected or considered non-compliant, resulting in penalties.

3. Are goods purchased from foreign suppliers included?
The update primarily targets services, but each transaction should be reviewed for tax applicability.

4. What is the approval timeline for Contract Declarations?
It varies depending on GTA workload and document accuracy. Ensuring correct submissions helps reduce delays.

5. Can HLB AG assist with complex WHT situations?
Yes. HLB AG provides comprehensive support for all aspects of WHT filing and Dhareeba compliance.​

Stay Compliant and Avoid Penalties with Timely Action

The GTA’s new Withholding Tax requirements mark a major shift in Qatar’s tax compliance landscape. Businesses must now ensure that all foreign service contracts, POs, and invoices are declared within 30 days and approved by the GTA before filing WHT statements.

Timely compliance is crucial to avoid penalties, audit risks, and operational delays.

HLB AG is fully equipped to support companies through these changes with professional tax advisory, WHT filing assistance, and Dhareeba portal compliance services—ensuring you stay ahead of regulations while focusing on business growth.

 

©2025 Antonio Ghaleb and Partner CPA and HLB AG-Members of HLB. All rights reserved. These highlights have been prepared for general guidance on matters of interest only and do not constitute professional advice. You should obtain professional advice before taking action on the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not give any representation or warranty (express or implied) regarding the accuracy or completeness of the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not assume any responsibility, liability, duty of care for any negative consequences that may result in reliance to these highlights and for any decision based on them.