Riyadh – Mubasher: Middle East Healthcare Company (Saudi German Hospital) obtained the approval of the General Authority for Zakat and Tax (GAZT) for the refund of tax paid on International Finance Corporations (IFC) share of profit in the company.

Saudi German Hospital and its earlier subsidiaries, Bait Al Batterjee and Zoheir Ahmed Al Sebai Medical Company and Abdul Jaleel Ibrahim Batterjee Sons Development, were filing zakat and income tax returns and paying income tax on IFC share of profit, based on their direct and indirect shareholding in the companies.

The Hospital requested GAZT for the exemption and refund of such income tax paid, by virtue of the Article 6 paragraph 9 of the articles of association of the IFC, according to a bourse filing on Monday.

The GAZT has approved the request of the company and ordered the credit to be distributed as follows: SAR 11.74 million for the hospital, SAR 1.69 million for the subsidiary medical company and SAR 120,300 for Abdul Jaleel Ibrahim Batterjee Sons Development.

The Zakat Authority also agreed that the aggregate amount of SAR 13.5 million will be considered as zakat liability paid in advance and will be adjusted from the future zakat liability of the hospital for the years 2016-2018.

The company will not be required to pay income tax in 2016 on IFC share of profit, the statement said.

IFC is current shareholding in the Saudi German Hospital by 8.42%.