Saudi Arabia's ZATCA Releases Comprehensive Guide for Companies Operating in the Integrated Logistics Bonded Zone (ILBZ)

In a significant move aimed at enhancing transparency and facilitating seamless operations, the Zakat, Tax and Customs Authority (ZATCA) of Saudi Arabia has recently issued an extensive guide outlining customs, income tax, and VAT procedures for companies operating within the Integrated Logistics Bonded Zone (ILBZ). This zone, established as a special economic area, is strategically designed to elevate the nation's cargo capacity, fortify supply chains, and position itself as a prominent global logistics hub.

The newly published guideline, available on ZATCA's official website https://zatca.gov.sa/ar/HelpCenter/guidelines/Documents/LOGISTICS.pdf,serves as a comprehensive resource for companies licensed in the ILBZ. It provides detailed insights into the customs, income tax, and VAT treatments applicable to various transactions and activities carried out within the confines of this specialized economic zone.

The ILBZ is a key component of Saudi Arabia's broader strategy to strengthen its logistical infrastructure and contribute to the growth of international trade. ZATCA's initiative to offer clear guidance aligns with the government's commitment to fostering a business-friendly environment and ensuring regulatory clarity for companies involved in the ILBZ.

This move is expected to streamline operations for businesses within the ILBZ, promoting efficiency, compliance, and ultimately contributing to the zone's objective of becoming a pivotal player in global logistics.