The taxman is coming for ride-hailing apps in Saudi
Uber + Careem just got hit with a massive tax bill in KSA. The ride-hailing companies will be charged a combined USD 100 mn in taxes in Saudi Arabia as the kingdom resolves disputes on how to calculate VAT by gig economy firms over the past few years, Bloomberg reports, citing sources in the know. The additional taxes, which “include hefty penalties for late payment,” may scare off investors at a time when Saudi authorities are looking to attract foreign investment. Earlier this month, a top Dubai investor in courier app Fetchr announced that it was considering filing for liquidation due to a USD 100 mn tax bill in Saudi Arabia, according to the business information service.
|
|
EGX30 |
11155.57 |
+1.5% (YTD: 2.9%) |
|
|
USD (CBE) |
Buy 15.66 |
Sell 15.76 |
|
|
USD at CIB |
Buy 15.66 |
Sell 15.76 |
|
|
Interest rates CBE |
8.25% deposit |
9.25% lending |
|
|
Tadawul |
11,773.4 |
+0.6% (YTD: 35.5%) |
|
|
ADX |
7,834.7 |
+0.3% (YTD: 55.3%) |
|
|
DFM |
2,802.1 |
+0.5% (YTD: 12.5%) |
|
|
S&P 500 |
4,471.4 |
+0.8% (YTD: 19%) |
|
|
FTSE 100 |
7,234.0 |
+0.4% (YTD: 12%) |
|
|
Brent crude |
USD 84.86 |
+1% |
|
|
Natural gas (Nymex) |
USD 5.41 |
-4.9% |
|
|
Gold |
USD 1,768.30 |
-1.7% |
|
|
BTC |
USD 60,814.31 |
+0.3% (as of midnight) |
THE CLOSING BELL-
The EGX30 rose 1.5% at yesterday’s close on turnover of EGP 1.3 bn (13.1% below the 90-day average). Local investors were net buyers. The index is up 2.9% YTD.
In the green: Ezz Steel (+10.3%), Qalaa Holding (+6.4%) and Raya (+4.0%).
In the red: CIRA (-2.1%), Aspire Capital (-1.8%) and Eastern Company (-1.8%).
Asian markets are starting the trading week in the red, with everything from the Kopsi to the Nikkei, Hang Seng and Shanghai down by less than 1%. Futures suggest a mixed open for major benchmarks in Europe later this morning. The outlook for Wall Street is similarly mixed, suggesting the Dow will open (barely) in the green while the S&P and Nasdaq will open (just barely) in the red.