Enterprises with annual revenues of more than 6 billion riyals benefited from the corrective period
Introduction
The Commercial Concealment initiative aims to modernize and develop the retail sector in outlets to provide investment opportunities for Saudis, generate jobs, and enable foreigners to invest systematically without the need for illegal cover.
Only two days are left of the corrective period for violators of the commercial concealment system, which will end on February 16, 2022, through which those who wish can benefit from the multiple options granted by the correction for violators of various sizes, especially those whose annual revenues exceed SR 2 million regardless of the activity in which they operate.
Correction continues until the end of the period
The National Anti-Cover-Up Program confirmed the continuation of the correction until the end of the corrective period scheduled for February 16, 2022, with the availability of all appropriate options for all establishments of all sizes in various sectors, including partnership in the establishment between a Saudi and a non-Saudi, registration of the ownership of the establishment in the name of a non-Saudi, the Saudi's continued practice of economic activity by introducing a new partner in the establishment (Saudi or licensed foreign investor), and the disposal of the Saudi in the establishment by selling, transferring or dissolving the establishment, in addition to the option for the non-Saudi to obtain privileged residence, and the final departure of the non-Saudi from the Kingdom.<span class="class="haslineline" class="hasvividred" size=1
Many advantages for beneficiaries of the correction
The program indicated that those who apply for correction before the deadline will benefit from the benefits stipulated in the regulation of correcting the status of violators of the anti-cover-up system, which includes exemption from the penalties stipulated in the system and other consequential penalties and exemption from paying income tax retroactively.
They pointed out that there is no room for excuses for violators after that date in light of the length of the corrective period and the deadline that has been added to it, and it is inevitable to apply the penalty prescribed in the system and its consequences.
Partnership Option
For his part, Trade Minister Majid Al-Qasabi confirmed, in a previous interview, that a number of large and medium enterprises whose annual revenues exceeded more than 6 billion riyals benefited from the corrective period during the past period, through two options: "partnership in the establishment between a Saudi and a non-Saudi, and registration of the establishment in the name of a non-Saudi," indicating that the ministry continues to consider requests to correct the status of establishments in various activities and sectors from all parties (Saudis and non-Saudis) since the beginning of the corrective period for violators of the anti-cover-up system.
Minister of Commerce Majid Al-Qasabi said in an earlier statement.
20 entities working to control concealers
<The Chairman of the Land Transport Committee at the Jeddah Chamber of Commerce, Saeed bin Ali Al-Bassami, emphasized that it is no longer acceptable to remain silent on the cover-up or allow it to be practiced in the Kingdom, and anyone who thinks otherwise should know that 20 government agencies are preparing to start working to control the cover-up using the latest artificial intelligence techniques and analyzing data and information. There will be no mercy or compassion for those who will be caught, whether concealed or covered up, in light of the length of the corrective period and the grace period that has been added to it, and it is inevitable that the penalty prescribed for them in the system will be applied to its maximum limits in addition to other penalties that may include retroactive payment of taxes.
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Penalties for commercial concealment
- Imprisonment of up to 5 years.
<Fine in some cases up to 5 million riyals.
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Other penalties
- Dissolution of the facility.
<Deregistration. <License revocation. <Deportation of the convicted person from the Kingdom. Prohibit the convicted person from practicing the economic activity of the crime and any other commercial activity for 5 years.
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Facilities and options to address commercial concealment
- Partnership in the establishment between Saudi and non-Saudi nationals.
<Registration of ownership of the establishment in the name of a non-Saudi. <Introducing a new partner in the establishment (Saudi or licensed foreign investor). <The Saudi's disposal of the establishment by sale, assignment or dissolution of the establishment. <A non-Saudi obtaining privileged residency. <The non-Saudi leaves the Kingdom permanently.
