Iran Mulls Tax Breaks for Hotels
October 3, 2016 Taxation in Iran
The government of Iran intends to drop the taxes on profit from the hotel industry in an effort to boost tourism.
The tax break will be granted on all the incomes generated by hotels, for a period of up to 13 years, with the exact length of the tax break to be based on the region of the county that hotel is located in.
The government hopes that the tax breaks will help boost the number of tourists arriving in the country from the current level of 5.2 million per year to as 20 million per year by the end of 2025.
It is estimated that as many as 125 four- and five-star hotels are currently being built in Iran by international hotel groups, including Accor.
The government hopes that within the next five years the country could see the completion of a total of 300 hotels, and a transformation of the current low-quality accommodation options available to tourists coming to the country.