BAGHDAD (AFP)--Iraq's cabinet has approved a bill that will slap foreign oil firms with a minimum 35% corporate tax in a bid to boost government revenues, government spokesman Ali al-Dabbagh said Wednesday.
"The Council of Ministers decided to approve the draft law on income tax on foreign oil companies based on the provisions of two constitutional articles," Dabbagh said in a statement.
"It takes into account the recommendation of the State Consultative Council to add an article for the income tax law of 1982 of not less than 35%.
"This agreement on the draft law will guarantee Iraq's rights in imposing taxes on companies contracted to extract oil and it will ensure that these taxes will be used for the national income," Dabbagh said.
"The Oil Ministry presented this draft law in order to be approved, because this will support to the national economy," he added.