Lebanon: Transport Allowance Increase

The amendment, which officially came into effect on 1st October 2021, is a mandatory allowance granted by employers to their employees for each working day as per the Labor Law. These earnings are free from income tax and social security contributions.

That being said, if the transportation allowance paid to employees exceeds LBP 24,000 per working day, that additional amount is subject to income tax, employee social security contributions and employer social security contributions.

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