Offset Counter-Operations Program entered into effect for first time at the end of the nineteenth century, particularly in 1893 when the British Navy signed a Contract with White Head Company to furnish the military with weapons in consideration that the latter would set up a factory for producing arms in favor of the British Navy.Over decades, this kind of contracts, which was only limited to military ones, has developed to include all civil contracts through counter - operations linking the flow of exports from one country to the flow of imports into that country with the aim of varying sources of income and expanding the productive base of national economy and also encouraging foreign investor.From this point, Kuwait has passed the experience and the Council of Ministers issued 1992 resolution to apply 'Offset' program as a Department belonging to the Ministry of Finance, and it entered into effect in 1995.In 2006 the Government of Kuwait established the National Offset Company of the Public Authority for Investment, upon recommendation from the World Bank to encourage the foreign supplier to get access into commercial partnerships with Kuwaiti Private Sector Companies.Therefore, tax has become an issue, which is much more particularly important than ever.Tax is imposed on income pursuant to a statute enacted in 1955, as amended by Law No. (2) Of 2008.It applies to trading capital profits achieved by foreign companies.At AG, our services are not limited to providing technical and legal advice to companies, but they extend to include the following:• Represent clients in Kuwait and the Arab Gulf region before administrative bodies and ministries in all tax disputes; • Structure foreign investment transactions and associated activities in Kuwait in the form that would reduce to minimum their tax liabilities as possible;• Advise on 'Offset' obligations on foreign companies ensuing from performance of government contracts and the terms and conditions of offset deeds