Water collection, treatment and supply

Excluded · 9% taxable

Forensic Analysis

DZ requiredSubstance: HIGHAI-derived

Under the framework of Ministerial Decision No. 229 of 2025, water collection and supply are classified as utility services. Utilities provided to the domestic market are explicitly excluded from Qualifying Income to prevent tax erosion of regulated monopolies. Forensic audit will focus on the 'Mainland' consumption vs. 'Free Zone' internal consumption ratios.

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Legal Reference

Ministerial Decision No. 229 of 2025, Article 4, Clause 2(b)

Audit Red Flag

Attempting to reclassify 'Water Supply' as 'Manufacturing or Processing of Goods' to exploit the 0% regime for industrial processes.

2 licensable activities under this classification

Desalination PlantExternal approval required

Water Resource & Infrastructure Treatment & EnhancementExternal approval required

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