Learning about Tax & SSO – Essential Knowledge in Iran
The direct tax, the value-added tax (VAT), and the social security charges in Iran have been on the rise in recent years. This is due to the Iranian government trying to cut its reliance on oil sales by generating new revenue sources. Some of the practices include changing the rates, as well as modifying the scope of the taxes. Hence, having up-to-date knowledge of tax regulations is a necessity for doing business in the Iranian market.
Additionally, the government has been rendering some exemptions and discounts on various occasions to promote investment and production in Iran. Being aware of such opportunities would indeed save many costs both for local and international businesses.
Thus, it is crucial for foreign companies to, first, understand the regulations applicable to their business and to make their entry decisions in such a way to manage their expenses and increase their margins efficiently.
IranPartner’s Tax Advisory Service
IranPartner delivers consultancy by a team of experienced tax advisors through extensive know-how in consulting foreign business ventures in Iran. Our team helps clients implement practical strategies for efficient management of their cash flows and focus on the growth of their business in Iran.
Iranian regulatory context is fundamentally unknown to foreign businesses. Highly regulated markets, higher government interventions compared to most European and East Asian countries, and numerous overlapping laws cause complications for running your business in Iran.
Meanwhile, sanctions are still in place, which prohibits companies from working with natural & legal persons in Iran. Hence, complying with such restrictions is a crucial factor when analyzing a long term business with the country. Our lawyers will keep you on the right track, providing you with details of the laws and their implications for running your business.
Some of the essential regulations you must be familiar with include:
- Iran’s Commercial Law
- Iran’s Customs Law as well as Import & Export Law
- Laws governing foreign nationalities’ work and residency in Iran
- Iran’s Free Zones, Special Economic Zones, and Industrial Town regulations
Also, there are industry-specific regulations, which provide additional requirements for businesses in Iran:
- Iranian Ministry of Industries, Mines, and Trade rules for setting up factories
- Iranian Ministry of Health & its Iran’s Food & Drug Administration’s customs for businesses in the food and health sectors
- Iranian Ministry of Agriculture’s regulations for food companies
- Iranian Department of Environment’s rules for all manufacturing plants
- Iranian Ministry of Roads & Construction’s practices for the transportation sector
- Iranian Ministry of Culture’s regulations for educational and media sectors
IranPartner provides Legal Advisory Service based on your specific industry. Let us know your business details, and we will get you covered.