About Qatar Financial Centre (QFC)
Qatar launched the Qatar Financial Centre (QFC) in 2005 to attract international firms and diversify its economy beyond oil and gas. QFC operates under its own legal and tax framework, separate from local civil law, giving businesses a familiar and transparent system.
Companies in QFC can be fully foreign-owned, repatriate profits freely, and benefit from Qatar’s broad tax treaty network. Based in Doha, the centre places firms close to banks, multinationals, and government offices, with access to Gulf and global markets.
Qatar Financial Centre is unique among other free zones in Qatar. It is a sought-after financial free zone which focuses on the professional and financial services sectors. QFC does not exclusively follow a typical free zone offering. It is a hybrid of a free zone and the mainland, as it is an onshore jurisdiction with corporate tax but operates under its own authority, tax, and legal system like a free zone or economic zone would. QFC company registration is regulated directly by the QFC Authority, which is responsible for business registration, licensing, and employee visa issuance in Qatar Financial Centre.
Key Features of QFC Business Setup
Why set up in QFC?
QFC applies English common law, which brings clarity to contract drafting and dispute resolution. Capital can be moved in and out of Qatar without restriction, and there are no withholding taxes on dividends, interest, or royalties. The centre has also become home to many global banks, consultancies, and law firms, creating a ready-made professional community.
Company types in QFC
QFC rules allow several corporate forms, giving investors flexibility:
- Limited Liability Company (LLC): The most common option, suitable for a wide range of activities.
- Branch of a Foreign Company: Allows international firms to operate under their parent’s structure.
- Partnerships: General or limited partnerships can be formed for ventures with multiple owners.
- Special Purpose Company: Used for holding assets, investment structuring, or limiting risk.
Each comes with its own setup steps and compliance duties, so the best choice depends on the business model and long-term aims.
Licensing and regulation
All firms in QFC require a licence from the QFC Authority that reflects their activity. Financial services such as banking, insurance, and asset management fall under the QFC Regulatory Authority, which applies international standards. Other professional and commercial firms are overseen by the QFC Authority.
Companies must maintain proper records, file annual returns, and notify regulators of changes to ownership or activity. Many are also required to demonstrate substance in Qatar, through office premises, staff, or board meetings.
Tax and compliance
QFC applies a 10% corporation tax on profits earned in Qatar. Income sourced abroad is not taxed locally. Companies must prepare audited accounts under IFRS and meet substance rules for locally generated income.
With access to more than 80 double taxation treaties, QFC is an efficient base for holding structures, investment platforms, and regional headquarters.
Why incorporate in QFC with us?
Sovereign guides clients through the full process of incorporation in QFC. We advise on the best structure, prepare and file applications, and liaise directly with the QFC Authority and Regulatory Authority.
Once established, we provide ongoing support with secretarial services, compliance, accounting, and tax, while monitoring regulatory changes and handling annual filings. Drawing on Sovereign’s wider Gulf presence, we also assist with regional expansion. Our goal is to provide clients with a secure, long-term base in Qatar.
