VAT in Bahrain
Bahrain's standard VAT rate is 10%, in force since 1 January 2022; the tax was introduced at 5% on 1 January 2019. Registration with the National Bureau for Revenue is mandatory once annual supplies exceed BHD 37,500 and voluntary from BHD 18,750. Non-residents making taxable supplies in Bahrain must register regardless of value.
Key facts
| Standard rate | 10% (since 1 January 2022) |
|---|---|
| Mandatory registration | Annual supplies above BHD 37,500 |
| Voluntary registration | Above BHD 18,750 |
| Return period | Quarterly for most registrants; monthly above BHD 3 million of supplies |
| Authority | National Bureau for Revenue (NBR) |
Opens the assistant with Bahrain already selected. Answers cite the law, guidance and cases they rest on.
Zero-rated supplies specific to Bahrain
Bahrain zero-rates more than its neighbours: basic food items on an agreed list, construction of new buildings, education and healthcare, local transport and oil and gas, alongside exports and international transport. Financial services and the sale, lease or licence of real estate — residential, commercial or bare land — are exempt; unlike the UAE, Bahrain has no zero rate for a first supply of property.
Guidance the NBR amends in place
The NBR publishes sector guides and updates them without changing the document title, so a guide read last year may not say what it says today. The assistant's corpus is reconciled against the NBR site, and it will quote the current edition.
Frequently asked questions
- What is the VAT rate in Bahrain?
- 10%, since 1 January 2022. It was 5% from 2019 to 2021.
- When must a business register for VAT in Bahrain?
- When annual supplies exceed BHD 37,500; voluntary registration is available from BHD 18,750.
Primary sources
Related guides
Disclaimer: This page provides general tax information based on publicly available primary sources, reviewed on the date shown. Rules are conditional and change; the page may not reflect a change made after that date, and it is not a substitute for advice from a qualified tax professional on your specific situation.