Lebanon
Corporate - Significant developments
Last reviewed - 23 January 2024In response to the hyperinflation in the country, the Ministry of Labor (MoL) and the National Social Security Fund (NSSF) issued several decrees and circulars during 2022 and early 2023 to adjust the salaries of employees subject to the Labor Law as well as the family allowance given.
Furthermore, Law no. 10, dated 15 November 2022, Budget Law 2022 (the ’Law‘), published in the Official Gazette no. 49 (addendum), introduced several amendments related to taxes, incentives, and exemptions applicable in Lebanon.
The 2022 Budget Law stated that whenever the statement 'taxes and duties are due in US Dollars or in any other foreign currency' is mentioned, the amount should be deposited/settled in the same currency to the Ministry of Finance’s (MoF's) bank account held at the Central Bank of Lebanon.
In addition, the 2022 Budget Law set out an amnesty of 50% of the amount of tax on unsettled tax assessments pending at the level of the Appeal Committee for assessments covering years up to 2020 (inclusive) with the condition that the tax amount is settled before 15 February 2023.
Furthermore, the MoF issued Decisions no. 322 and 323, dated 15 May 2023, related to tax on foreign movable capital income and the tax treatment of gains on disposal of shares or parts in joint stock and limited liability companies, respectively.
The major tax amendments and exemptions are incorporated in the appropriate summary sections.