Riyadh has a 20% headline corporate tax rate; occupiers must also model property taxes and any local occupancy levies on top of rent.

  • Headline corporate tax: 20%.
  • Property taxes / business rates / equivalents are a separate line item — model them explicitly.
  • Cross-border occupiers should screen for local incentives (free zones, IP regimes, R&D credits).

Riyadh corporate taxes and occupancy taxes

Riyadh has a 20% headline corporate tax rate; occupiers must also model property taxes and any local occupancy levies on top of rent.

TL;DR

  • Headline corporate tax: 20%.
  • Property taxes / business rates / equivalents are a separate line item — model them explicitly.
  • Cross-border occupiers should screen for local incentives (free zones, IP regimes, R&D credits).

Corporate tax

Riyadh levies an effective corporate tax of around 20% on most C-corps. Cross-border holding structures and IP regimes can materially change the effective rate; engage local tax counsel early.

Occupancy and property taxes

20% Saudi corporate income tax for non-Saudi/GCC owned entities. Zakat 2.5% on net assets for Saudi/GCC owners. RHQ program offers 30-year tax holiday for qualifying multinational HQs.

Key facts

cityRiyadh
countrySaudi Arabia
regionEMEA
classARentLocal2200 SAR/sqft/yr
classARentUsd$587/sqft/yr
vacancy4.6%
typicalLeaseYears5
typicalRentFreeMonths4
submarkets5
primeYieldPct6.8%
corporateTaxPct20%

Frequently asked questions

What is Riyadh's corporate tax rate?
Around 20% on most C-corps. Local incentives, IP regimes, and structuring change the effective rate materially.

Editorial provenance

Reviewed by Samuel Okafor — EMEA contributing editor. Last updated 2026-04-15. See our methodology and editorial standards.

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