Manama : The National Bureau for Revenue (NBR) conducted 1875 inspection visits across Bahrain’s governorates in 2024 as part of its efforts to enhance business compliance and ensure adherence to regulations governing VAT and excise, including the Digital Stamps Scheme.
The inspections covered various sectors, including education, construction, manufacturing, real estate, retail, plumbing, heat and air-conditioning installation, travel agencies, and healthcare. The initiative aimed to monitor market activities, protect consumer rights, combat VAT and excise evasion, and promote awareness of proper implementation practices.
The NBR reported 316 VAT violations, resulting in administrative fines in accordance with the law. The most common violations included failure to comply with VAT invoicing requirements, failure to display VAT-inclusive prices, not placing VAT certificates in visible locations, and failure to issue VAT invoices.
Additionally, four violations were recorded for supplying excise goods without valid and activated digital stamps, as part of efforts to ensure compliance with the Digital Stamps Scheme.
The NBR also identified several cases suspected of VAT or excise evasion, with legal action being taken against violators. Those proven to have committed tax evasion crimes may face imprisonment for up to five years and fines of up to three times the VAT due, or imprisonment for one year and fines amounting to double the evaded excise.
The NBR stressed the importance of cooperation between businesses and consumers in ensuring the success of inspection campaigns and achieving high compliance standards. Businesses registered with the NBR are urged to adhere to legislation to prevent violations and support effective implementation.
The NBR encouraged reporting of any VAT or excise violations through its call center at 80008001, available 24/7, or via the National Suggestions and Complaints System (Tawasul). More information is available on the NBR website (www.nbr.gov.bh).
