Tax Sweep Nets Dozens

TDT | Manama

Email: mail@newsofbahrain.com

Bahrain’s National Bureau for Revenue (NBR) carried out 724 inspection visits across local markets during the first half of 2025, uncovering dozens of VAT and excise violations as part of a nationwide campaign to tighten tax compliance.

The intensified monitoring resulted in the reporting of 71 VAT-related offences. According to the NBR, the most common issue was the failure to issue proper VAT invoices, along with businesses not showing prices inclusive of VAT, failing to display VAT certificates in a visible location, and issuing tax invoices on non-taxable goods.

Administrative fines were imposed in each case.

Excise breaches and suspicious activity

The bureau also detected eight instances involving excise goods acquired without payment of applicable duties. These cases were subject to administrative penalties under existing excise laws.

More significantly, eight suspected cases of VAT and Excise tax evasion were identified during the same period. Legal proceedings have been initiated, with potential punishments including prison terms of up to five years and fines amounting to three times the VAT owed, or up to one year in prison and double the evaded excise amount.

Public urged to report violations

The NBR has urged businesses to strictly comply with VAT and Excise regulations to avoid penalties. It also called on the public to report any suspicious activity by contacting the NBR’s 24-hour call centre at 80008001 or through the Tawasul national complaints system.

Additional guidelines and updates are available on the NBR website, www.nbr.gov.bh. The bureau reaffirmed its commitment to transparent enforcement and continued inspection as part of its strategy to safeguard market integrity and consumer protection.