FinMin agrees to exempt profits on fixed income investments from income tax

The Finance Ministry has agreed to exempt fixed income investors from paying a 2.5% income tax on the profits they make from their investments, member of the Financial Regulatory Authority’s (FRA) consultative committee, Essam Khalifa, tells Al Mal. According to Khalifa, the ministry’s decision grants the same exemption applied to profits from investment funds under the Income Tax Law. The move is meant to level the playing field between the two types of investments, which both involve debt instruments but only differ in the tenor of the debt.