RETT exemption

Transactions the RETT Law leaves out of the tax, such as certain transfers between close relatives, to a waqf, or as part of an inheritance. Whether a given purchase is exempt depends on the parties and the purpose, and ZATCA decides. If you are buying from abroad, get written confirmation before you count on an exemption.

Updated 10 April 2025

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Related words

RETT
RETT is the Real Estate Transaction Tax, which ZATCA collects on a transfer of real estate or of a right in it, calculated on the transaction value.
Waqf
An Islamic charitable endowment, in which an asset is held permanently for a stated purpose.

Sources

  1. ZATCA — RETT · 10 Apr 2025
    Real Estate Transaction Tax is 5% of the transaction value (RETT Law M/84 of 1446H, effective 10 April 2025).

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