The Minister of Finance has issued a decision specifying the detailed implementation of Article 35 of the current law No. 10, which is the general budget law for the year 2022. Article two states: Contrary to any other text, the taxable revenues for salaries and wages paid in cash in US dollars are calculated based on the following:
- For periods prior to 15/11/2022, based on an exchange rate of 8000 L.L.
- For the period starting from 15/11/2022, based on an exchange rate of 15,000 L.L.
However, if these revenues are paid by check or bank transfer within Lebanon and exceed 3,000 US dollars, an exchange rate of 8,000 L.L. per dollar will be applied for the first 3,000 dollars, and 1,507.5 L.L. per dollar for the remaining amount.
Article three: Employers mentioned in Article two must deduct the tax from the salaries and wages owed based on the value determined by the decision issued by the Ministry of Finance and the Central Bank of Lebanon, in implementation of Article 35 of the current law No. 10, whether for cash payment or bank transfer, and they must remit it to the treasury periodically and within the legal deadlines.
Article four: Employers who continued to pay wages and compensations to their employees in Lebanese pounds without converting them to cash dollars or checks or transfers, or after converting them back to Lebanese pounds, have the right to submit a request for the refund of the excess tax paid. The relevant tax department will audit the requests and make the necessary decisions regarding them.
Article five: Any natural or legal person entitled to partial or total wages in US dollars or any other foreign currency must record those salaries and wages among their liabilities in Lebanese pounds according to their actual value.
