Qatar Financial Centre

Being one of the most diversified economies, Qatar serves as a home to millions of ex-pats. We are a prominent onshore financial and business hub in Doha that welcomes both domestic and foreign businesses to register as Qatar Financial Center (QFC) corporations. 

The QFC wants to showcase Qatar as a significant economic and commercial powerhouse at the nexus of the East and West. The zone encourages companies, from small start-ups to major firms looking to expand in the area, to take advantage of flexible legal and regulatory services, both regulated and unregulated, that adhere to global best practices. 

By working with QFC, you can contribute to Qatar's rapid development as a significant center for commerce and investment while accelerating your company's growth within the country and abroad. 

The Financial Center Qatar Free Zone

Just like the Qatar Science and Technology Park Free Zone, the country has come up with QFC, which is ideally located for any business, be it a start-up or an existing one. Now, let’s have a look at the business activities that can be carried out in the free zone.

]The Permitted Business Activities in the QFC Free Zone

In QFC, the following regulated business activities are permitted:

• Banking
• Asset Management
• Insurance/ Reinsurance
• Captives
• Islamic Finance
• Investment Advice and Services
• Brokerage.

The QFC free zone also deals with the following non-regulated activities:

• Services that deal with Professional, corporate, and business
• Treasury functions, company headquarters, and management offices
• Special-purpose companies
• Holding companies
• Trust and its related services
• Single-family offices.

Pre-Requisites to Conduct the Regulated Activities

In order to conduct regulated activities, all you need to do is stated below:

1. Apply for a license from the QFC Authorities
2. Applicants seeking authorization to perform the supervised activities need to provide the following information:

• General information about the firm
• Description of the proposed business
• Details of the firm’s compliance arrangements
• Information on the firm’s IT systems
• Details regarding business continuity plans.

Qatar Financial Center Authority

The process of business setup in Qatar is easier for business entities related to finance due to the various tax incentives and reliefs provided by the Free Zone.

1.   Tax Incentives and Reliefs

As an investment manager, reinsurer, captive insurer, or if your company is at least 90% owned by a Qatari national, you can take advantage of a tax rate concession of 0%. Income received through investment funds, holding corporations, or Special Purpose Companies may be free from taxes (under certain conditions).

You won't pay taxes on dividend payments, interest on public treasury bonds, or capital gains resulting from the sale of the majority of your stockholdings (not less than 10%). If you have tax losses, they can be carried forward without a time restriction to be used as a credit against future profits, but they cannot be carried back.

For businesses having a 75% ownership tie and a QFC license, group loss reimbursement is furthermore possible.

2.   Tax Rulings

Our effective advance-ruling service can issue a ruling within 30 days if you require assurance regarding how the tax legislation will affect your particular transactions. If all relevant information has been fully disclosed and the transactions have been completed as planned, the rulings are binding on us (but not you).

How to Incorporate QFC Qatar Companies?

In order to incorporate a business in QFC, all you need to do is go through the following steps:

• Apply for a License

In the very first step, you need to apply for a license by filing the appropriate form. The form is easily accessible on the Qatar Financial Center Regulatory Authority (QFCRA) website.

• Provide Business Background

Once you have applied, you need to provide a brief history of your business and its importance.

• Submit the Essentials

Next, you need to submit the completed form to the QFC Authority, which will initiate the process of inspection regarding the application filed.

• Obtain a License

Once the authorities review and approve, you can obtain the license. For that, an application to the company registration office needs to be submitted stating the type of corporate structure you wish to establish.

Qatar Financial Centre Regulatory Authority's Main Divisions

The QFCRA has a number of parts intended to concentrate on specific services. The platform opens a number of gateways for business options that make it one of the most thriving business locations, and a Qatar Free Zone company formation leverages the opportunities to a great extent.

The following are the divisions:

Division of Financial Sector Development and Policy

This division handles legislative and regulatory goals.

I.  Division of Authorization and Regulatory Services

This division reviews applications submitted by companies and people requesting authorization to carry out operations within the QFC.

II.  The Division for the Supervision of Financial Institutions

This division oversees the permitted businesses and serves as a liaison between them and the regulatory body.

III.   The Division of Legal and Regulatory Compliance

This section is in charge of carrying out the regulatory authority's duties and has jurisdiction over conducting investigations. Additionally, it monitors the regulator's relations abroad.

Now, let’s have a look at the advantages of establishing a business entity in QFC.

Benefits of Getting Included in the Qatar Financial Center Companies List

We have assisted more than 1,200 businesses worldwide in setting up and operating in Qatar, one of the economies with the fastest growth rates in the world, since 2005.

• 100% foreign ownership
• Competitive Tax System
• Onshore Jurisdiction
• 100% repatriation of capital and profits
• 10% corporate tax
• One-stop shop for the establishment, licenses, and support activities
• English common law
• No currency restrictions.

All the points mentioned above give complete information about the business setup process in QFC. One of the easiest ways that any foreign business investor opts for is to hire a business consultant to ease the process of understanding the Qatari law and abide by the rules accordingly hassle-free. 

We at Commitbiz strive to deliver the same. A team of professional experts who is well-versed in legal laws will help you in the process of establishing your business entity in QFC. 

Our experts will understand your business needs and cater to them accordingly. To have a word, do contact us today-we’d be glad to assist.