Introduction: Tax Concerns for Expats
For expatriates investing abroad, property tax is often a key concern. Some countries impose heavy annual taxes, while others add capital gains or inheritance levies. Oman, however, has taken a clear and simple approach: it is one of the most tax-friendly real estate markets in the world.
No Annual Property Tax

Unlike the UK, Europe, or the US, Oman does not charge annual property taxes. Once you buy your property, you own it outright, without yearly government levies.
This policy is designed to attract expatriate investors and long-term residents, making Oman highly competitive compared to its regional neighbors.
No Rental Income or Capital Gains Tax
If you rent out your property, you’ll be pleased to know:
This is especially attractive for investors looking for high net rental yields in communities such as Al Mouj, Yiti, and AIDA.
The 3% Stamp Duty
The main government fee is the 3% stamp duty, payable at registration.
It is calculated on the property’s purchase price.
Example: A property worth OMR 200,000 → stamp duty = OMR 6,000.
This fee is paid by the buyer, not the seller.
Without payment, the title deed will not be issued.
Official reference: Ministry of Housing & Urban Planning.
Other Costs to Consider
While Oman’s tax system is light, buyers should budget for:
Service charges → usually OMR 5–10 per sqm annually (for community maintenance).
Utility deposits → electricity, water, and telecom setup.
Visa application fees → via the Oman Residence Portal.
FAQ: Property Taxes in Oman
Do expats pay annual property tax in Oman?
No. Oman does not levy annual property taxes.
Do I pay tax on rental income in Oman?
No. Rental income is tax-free.
Is there capital gains tax on property sales?
No. Profits from sales are not taxed.
Who pays the 3% stamp duty?
The buyer pays stamp duty when registering the property.
Conclusion
Oman’s tax-free property ownership system is one of its greatest attractions for expats. With no annual taxes, no income or capital gains taxes, and only a one-time 3% stamp duty, the Sultanate offers investors a uniquely simple and profitable environment.
📞 Contact Asasika Oman to learn more about properties in Al Mouj, Yiti, AIDA, and Sultan Haitham City.