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Bookkeeping is often treated as an administrative task, but in Qatar it is a legal duty under two laws. The Commercial Law requires traders to keep commercial books, and the Income Tax Law requires taxpayers to keep accounts that support their tax return.
Good books also decide how smoothly everything else goes: the annual audit, the tax return, bank applications and, for suppliers in the energy sector, the ICV certificate.
This guide sets out what the law requires, with the article behind each rule, followed by a practical monthly routine and neutral criteria for choosing software.
- Required books
- Journal, ledger, inventory
- Keep records for
- 10 years (tax)
- Computer books
- Allowed, with conditions
- Law checked
- 16 October 2026
The short answer
In short
- Companies must keep a general journal, a general ledger and an inventory book, with the invoices and documents behind every entry (Commercial Law Article 22; Income Tax Executive Regulations Article 35).
- For tax purposes, books, records and documents are kept for 10 years after the year they relate to (Executive Regulations Article 36).
- Computerised accounts are allowed, provided the system meets the conditions in Article 36(3), including entries that cannot be altered and extracts every three months.
- Accounts follow international accounting standards. Keeping the books up to date each month makes the audit and tax return quicker and more reliable.
Who must keep books in Qatar
Article 21 of the Commercial Law (Law No. 27 of 2006) requires every trader to keep the commercial books that the nature and size of its business require, in a way that shows its financial position accurately. Under Article 12, every commercial company is a trader, and under Article 15 so is a branch of a foreign company trading in Qatar.
Article 12 of the Income Tax Law adds a separate duty: a taxpayer carrying on an activity in Qatar must keep accounting books, records and documents in line with Qatari law and international accounting standards.
The Commercial Law exempts traders with capital of QAR 100,000 or less from its list of compulsory books (Article 22). That exemption does not remove the income tax duty, and a limited liability company still needs an auditor who reports on whether it keeps proper accounts. In practice, every company should keep full books.
The records to keep
| Record | What it contains | Source |
|---|---|---|
| General journal | Every transaction, recorded daily and in detail | Commercial Law Arts. 22, 23; Executive Regulations Art. 35 |
| General ledger | All journal entries posted to their accounts | Commercial Law Art. 24; Executive Regulations Art. 35 |
| Inventory book | Year-end stock in detail and a copy of the balance sheet | Commercial Law Art. 25; Executive Regulations Art. 35 |
| Supporting documents | Invoices received and issued, contracts, correspondence and other evidence for each entry | Commercial Law Art. 27; Executive Regulations Art. 35 |
| Payroll records | Salaries paid monthly by bank transfer through the Wage Protection System | Labour Law Art. 66 |
| Excise records | Only for businesses dealing in excise goods: movement of excise goods and returns | Excise Tax Law Art. 8 |
How long to keep records
Three different periods apply, and the longest one decides in practice. For income tax, books, records and documents are kept for 10 years after the year they relate to, at the place of business, and longer while a dispute is open (Executive Regulations Article 36(1)). The Commercial Law requires the three books to be kept for 10 years from the date they are closed, but invoices and correspondence for 5 years (Article 28). Excise tax records are kept for 5 years from the end of the year they relate to.
Because the tax rule covers documents as well as books, the simplest policy is to keep everything for at least 10 years after the year it relates to. The GTA can assess a return within five years of the year it was filed, and within ten years where no return was filed.
Paper, computer or cloud: the conditions
Most companies keep their books in accounting software. Article 35 of the Commercial Law allows this and exempts computerised books from the paper rules on stamping and endorsement. For income tax, Article 36(3) of the Executive Regulations sets six conditions.
The system must be secure against changes to entries or outputs, and all original supporting documents must be kept, together with documents describing the system’s design, features and use. The auditor confirms in its report that the system meets recognised standards of security and accuracy. Extracts of entries and accounts are produced every three months, and the GTA can access all records at any time within Qatar.
The regulations require access within Qatar; they do not expressly require the data itself to be stored in Qatar. No Arabic-language rule was found for income tax books; for excise records, the regulations accept Arabic or English. Keeping the books may be contracted out, but the company remains responsible to the GTA (Article 36(4)).
Which accounting standards apply
Qatari law refers to international accounting standards without naming a version. The Income Tax Law requires books in line with international accounting standards, and the Commercial Companies Law requires the auditor to confirm that the company keeps accounts in line with internationally recognised accounting rules (Article 146, applied to limited liability companies by Article 260). In practice, companies prepare their financial statements under IFRS.
Qatar has not formally adopted IFRS for SMEs, the simplified version, according to the IFRS Foundation, although some companies use it. Agree the framework with your auditor before you rely on it.
A monthly bookkeeping routine
The steps marked with a legal reference are requirements; the others are standard good practice that auditors expect to see.
- 1
Record transactions as they happen
Enter sales, purchases, receipts and payments with the document behind each one. The Commercial Law requires journal entries daily and in detail (Article 23).
- 2
Reconcile every bank account
Agree each bank and cash balance to the statement and investigate differences.
- 3
Review customers
Issue invoices, review the ageing of amounts owed and follow up overdue balances.
- 4
Review suppliers
Match supplier invoices to orders and deliveries, and reconcile supplier statements.
- 5
Run payroll
Pay salaries monthly by bank transfer through the Wage Protection System (Labour Law Article 66), and update leave and end of service provisions.
- 6
Deal with withholding tax
Check payments to non-resident suppliers and pay any tax withheld to the GTA by the deadline the following month. See withholding tax in Qatar.
- 7
Post month-end entries
Record accruals, prepayments and depreciation, and update the fixed asset register.
- 8
Close the month
Review the trial balance, clear suspense accounts, agree balances with related parties and produce management accounts.
- 9
Every three months
Produce the extracts of entries and accounts required for computerised books (Executive Regulations Article 36(3)).
Qatar has no VAT in force, so there are no VAT returns to prepare. Invoices are still kept as supporting documents.
Year end: from closed books to audit and tax return
At the year end, the stock count and the balance sheet go into the inventory book (Commercial Law Article 25). A limited liability company’s managers must prepare the annual accounts within two months of the year end (Commercial Companies Law Article 251), and the corporate income tax return is due within four months.
Books that are closed and reconciled every month make both deadlines realistic. Our articles on preparing for your annual audit and filing a corporate income tax return cover the next steps.
Choosing accounting software: what to check
There is no approved list of accounting software in Qatar. Rather than a brand, check whether a system meets the rules above:
- Audit trail: posted entries are locked and dates cannot be changed, so your auditor can give the confirmation required by Article 36(3)
- Reports and exports: entries and accounts can be extracted at least every three months
- Access and backups: the GTA can reach your records at any time, and data can be kept and read for 10 years
- Arabic and English: invoices and reports in both languages
- Currencies: multi-currency transactions with Qatari riyals as the reporting currency
- Payroll: an export your bank accepts for the Wage Protection System
- Stock: an inventory module if the business holds stock
- E-invoicing: Qatar’s Cabinet approved a draft e-invoicing law on 6 May 2026, but no format or date has been published. Ask the provider how it plans to adapt. See e-invoicing in Qatar.
Penalties for poor records
| Breach | Penalty | Source |
|---|---|---|
| Not keeping the compulsory commercial books, or not following the rules for them | Fine of QAR 1,000 to QAR 10,000 | Commercial Law Art. 34 |
| Breaching the income tax rules on keeping books or on audited accounts | QAR 30,000 | Income Tax Law Art. 24 |
| Not keeping the required excise records | QAR 10,000 | Excise Tax Law Art. 16 |
| Not paying wages by bank transfer | Fine of QAR 2,000 to QAR 10,000, imprisonment, or both | Labour Law Art. 145 bis |
What to do next
Check that your system keeps the three books with supporting documents, set a monthly close date, and confirm your retention policy covers 10 years. If you are considering handing the work to an outside firm, note that a firm keeping your books cannot also audit them (Law No. 8 of 2020, Article 27).
Our bookkeeping service covers monthly bookkeeping and reconciliations, and our accounting system setup service helps you organise your system. To discuss your needs, request a proposal.
Frequently asked questions
What accounting records must a company keep in Qatar?
A general journal, a general ledger and an inventory book, together with the invoices, contracts, correspondence and other documents behind each entry (Commercial Law Articles 22 and 27; Income Tax Executive Regulations Article 35).
How long must accounting records be kept in Qatar?
For income tax, 10 years after the year they relate to, and longer while a dispute is open. The Commercial Law sets 10 years for the books and 5 years for invoices and correspondence, so keeping everything for 10 years covers both.
Do small companies need to keep books?
Yes. The Commercial Law exempts traders with capital of QAR 100,000 or less from its list of compulsory books, but the income tax duty to keep accounts still applies, and a limited liability company still needs an auditor.
Can a company keep its books in accounting software?
Yes. The Commercial Law allows computerised books, and the Income Tax Executive Regulations set conditions, including a secure system, quarterly extracts, the auditor’s confirmation and GTA access to the records within Qatar.
Must accounting books be kept in Arabic?
No Arabic-language rule was found for income tax books or under the Commercial Law. For excise records, the regulations accept Arabic or English.
Which accounting standards apply in Qatar?
Qatari law requires international accounting standards, and companies prepare their financial statements under IFRS. IFRS for SMEs has not been formally adopted, so agree the framework with your auditor.
What is the penalty for not keeping proper books?
Under the Commercial Law, a fine of QAR 1,000 to QAR 10,000. Under the Income Tax Law, breaching the rules on keeping books carries a QAR 30,000 penalty.
Sources
Laws and regulations
- Law No. 27 of 2006, Commercial Law (Al Meezan)
- Income Tax Law and Executive Regulations, 2024 edition (General Tax Authority)
- Excise Tax Law and Executive Regulations, 2024 edition (General Tax Authority)
- Law No. 11 of 2015, Commercial Companies Law (Al Meezan)
- Law No. 14 of 2004, Labour Law (Al Meezan)
Accounting standards
This article is general information, not accounting or tax advice for your company. The laws and regulations cited were checked on 16 October 2026; English descriptions of Arabic legal texts are our own. A firm that keeps your books cannot also audit them.