The Kingdom of Bahrain has announced the introduction of the Value Added Tax (VAT) in the country, effective January 1, 2019.
VAT is a form of indirect tax on the consumption or use of goods and services, applied at the point of sale, and charged on applicable transactions.
A registered business collects the VAT charged to customers on the supply of goods and services, and pays VAT on goods and services purchased from suppliers. The difference between the VAT collected from customers and the VAT paid to suppliers is then remitted to the National Bureau of Taxation (NBT), the Authority established to collect and manage VAT in Bahrain.
VAT has been introduced in the Kingdom of Bahrain at a standard rate of 5%. Certain supplies of goods and services are subject to a 0% VAT charge, while some are exempt (Refer Decree-law No (48) of 2018 on value added tax. For more details, click here.
VAT is a general consumption tax, and applies to the majority of transactions of goods and services, unless specifically exempt by law. TNT will apply and collect VAT, where applicable on its services, from January 1, 2019. Rates and charges on all existing TNT contracts are VAT exclusive.
A business must register for VAT if their taxable supplies and imports exceed the prescribed “mandatory registration threshold.” Additional information for businesses can be found here.
For more details on how your business can prepare for VAT please visit this page.
To register for VAT, please follow the VAT creation guidelines at the VAT information resource center published by the National Bureau of Taxation.
The National Bureau for Taxation (NBT) has issued a ‘Taxpayer Charter’ which outlines expectations from registered taxpayers to ensure building a relationship of mutual trust and respect. Further details can be found here.
In order to share your Tax Registration details with TNT, please download the template, fill in the details, attach the completed template and send it to email@example.com along with a copy of the tax registration certificate.
In order for us to continue serving you following the implementation of VAT on January 1, 2019, the following tax registration details are required:
To ensure VAT benefits, your Tax Registration Number needs to be listed on the Tax Invoice provided by TNT after January 1, 2019.
TNT requires a copy of the tax registration certificate to verify the information provided, and avoid any administrative errors in invoicing.
To ensure your tax registration details are entered correctly into our systems, it is important to update your tax registration information in the TNT template. Once updated, it should be emailed to firstname.lastname@example.org along with a copy of your Tax registration certificate (if available).
If you have submitted incorrect information, you can re-submit the correct details along with the supporting documents to email@example.com.
Yes. You can submit your Tax Registration Number with the supporting documents to firstname.lastname@example.org when you receive them.
Name of the entity: TNT Skypak International Bahrain W.L.L.
Registered Address: Building: 23, Road/Street: 20, Town: Muharraq, Block: 224, Country: Bahrain
Tax Registration Number: <<This field will be updated once TNT receives its Tax Registration Number>>
For a copy of the TNT Tax Registration certificate, please contact your TNT sales representative, or write to email@example.com.
No. Additional contracts are not required. Rates and charges on all existing TNT contracts are VAT exclusive. TNT will apply and collect VAT, where applicable on its services from January 1, 2019.