Manama, Jan. 28 (BNA): The National Bureau for Revenue (NBR) conducted 1216 inspection visits within the local markets in the governorates of the Kingdom of Bahrain during 2025, as part of the NBR’s continuous commitment to enhance the level of business compliance within the local markets and ensure adherence to all regulations and legislation for the effective implementation of VAT and Excise. The inspection was conducted over various sectors, such as construction, manufacturing, real estate, retail, plumbing, heat and air-conditioning installation, travel agencies, auto repair, manpower supply, jewelry trading and other sectors.

This reflects the NBR’s ongoing commitment to monitoring the market, ensuring a high level of protection for consumer rights, combating VAT and Excise evasion, and spreading awareness of the rightful ways of implementation. These efforts resulted in a high compliance rate of 86.5% across local markets in 2025, reflecting the positive impact of NBR’s continuous oversight and awareness initiatives.

The NBR has confirmed that effective oversight of the local market has resulted in reporting 145 VAT violations, in which administrative fines have been imposed in accordance with the Law. The most reported violations were related to the failure to comply with the conditions for issuing VAT invoices, in addition to other violations such as failure to show prices inclusive of VAT, failure to display a VAT certificate in a visible location, failure to issue VAT invoices, and issuance of VAT invoices on non-VATable goods or services.

As part of NBR’s ongoing efforts to ensure proper excise implementation in the local market, the NBR reported 19 violations related to the acquisition of excise goods with unpaid excise dues, and the supply of excise goods without a valid and active digital stamp, for which administrative fines were imposed.

The NBR's intensified oversight efforts also led to identification of suspicious cases of VAT and Excise evasion, in which legal actions have been taken against violators, and reported those who are proven to have committed evasion crimes which may be punishable by imprisonment for five years and a fine equivalent to three times the amount of VAT due or by imprisonment for one year and a fine equivalent to double the evaded excise.

The NBR highlighted the importance of adhering to all regulations and legislation to ensure the effective implementation of VAT and Excise. The NBR also urged all concerned parties to report any violations by contacting the NBR call center at 80008001 available 24 hours, 7 days a week, or through the National Suggestions & Complaints System (Tawasul). Additionally, detailed information is available on the NBR’s website www.nbr.gov.bh.

Z.H, S.H.A