Exemptions

1- Exemptions on wages and salaries:

-Allowances paid to religious ministers for performances of religious rites.
-Subject to reciprocity: salaries and allowances of ambassadors of foreign states and their foreign staff.
-Salaries and allowances of military men, whatever their rank, attached to the armed forces of allied states.
-Disablement pensions granted to civil servants, or servants of firms of public interest, or of public and private institutions, in accordance with the retirement rules and regulations.
-Lifetime payments and temporary allowances paid to victims of accidents suffered while on duty.
-Wages of agricultural laborers.
-Wages of domestic servants in private houses.
-Wages of nurses and cleaners in hospitals, orphanages, asylums and other medical and first aid institutions.
-Indemnity on discharge from service paid in accordance with the laws in force in Lebanon.
-Family allowances paid according to law.
-Wages of foreign employees in the Union of Arab Capital and Financial Markets.

2- Exemptions on tax on movable capital:

-Amount paid in reimbursement of creditors or shareholders provided they are not taken from the profit and loss account or from reserve funds.
-Amounts reimbursed to shareholders and creditors in concessionary companies even though they are taken from reserve funds or profit and loss account when this is warranted by the obligation to surrender the installations to the State, free of charge, at the expiry of the concession.
-Interest on savings accounts.
-Interests and revenues of current accounts opened at the banks in the name of the government, municipalities and public institutions, and also foreign diplomatic and consular corps in Lebanon subject to reciprocal treatment.
-Income from bonds issued by the Treasury of the Lebanese government.
This income is only subject to the tax on profits when it is due to profession practicing.

3- Exemptions on income tax

Exemptions apply to:
-Educational institutes,
-Hospitals, orphanages, benevolent asylums, and similar institutions;
-Consumers’ cooperative companies, trade unions, and agricultural cooperatives of a non¬commercial nature;
– Agricultural investors not engaged in trading of their produces;
– Local air and sea transport companies and foreign ones if Lebanese companies receive reciprocal treatment in the foreign country;
– Public institutions
– Touristic establishments classified as artisanal
– Profits that are reinvested
– Profits resulting from the production of new products for which there were no local industry before in Lebanon, are exempted for ten years.
– Profits from enterprises that are established in some regions are also exempted for a ten- year period.
– Holdings and Offshore companies are also exempted from profit and dividend taxes.