Every body corporate subject to Kuwait income tax must file its tax return no later than the fifteenth day of the fourth month following the end of the taxable period, and the tax shown in the return is paid in four equal instalments.
Filing Deadline and Content of the Return
The executive rules and instructions provide that every body corporate subject to tax must submit a tax return drawn up in Arabic on the prescribed form, with the amounts stated in the national currency (Kuwaiti Dinar), and the tax return must be filed no later than the fifteenth day of the fourth month following the end of the taxable period for which the return is submitted. The return must be accompanied by a report prepared and certified by an auditor registered with the Ministry of Commerce and approved by the Ministry of Finance.
Who Is Not Required to File
Under the Decree as amended by Law No. 2 of 2008, a body corporate whose income for any taxable period does not exceed KD 5,250 is not required to file an income tax declaration unless directed by the Director to do so.
Payment in Instalments
Every taxpayer required to file a tax return must pay to the Director, for the account of the Ruler, the amount of income tax shown on the return in four equal instalments, due respectively on the fifteenth day of the fourth, sixth, ninth, and twelfth months following the end of the taxable period. The Director may grant reasonable extensions of time for filing the return and paying the tax when the taxpayer shows that such extensions are necessary.
Late Filing and Late Payment Penalty
Where a taxpayer fails to file the declaration or to pay the amount of tax due within the prescribed time (except where such failure is due to a reasonable cause), a fine of 1% is added to the amounts due for each thirty days or part thereof during which such failure continues.
Confidentiality of the Tax Return
The information contained in a tax return is treated as confidential and may not be exposed for examination or inspection by any person other than the government, the Director, and his personnel. Without the taxpayer's consent, it is unlawful to divulge or make known to any other person the amount or particulars of items of income or deductions, or any other data set out in the return or in the taxpayer's records and books.
This confidentiality extends to the return itself as well as to any accounting records or books the taxpayer relied on in preparing it, protecting the body corporate's financial data from unauthorized disclosure.
Legal References
- Decree No. 3 of 1955 concerning Kuwait Income Tax as amended by Law No. 2 of 2008 – Articles (8) and (11).
- Administrative Resolution No. 875 of 2013 issuing the executive rules and instructions of Income Tax Decree 3-1955 – Executive Rule No. (8) on filing the tax return.
For questions about your specific situation, you can ask the Kuwait Tax & Legislation Helper on Helpers, or consult a licensed chartered accountant.