Increase in Bahrain’s VAT will be implemented from 1 January 2022

The Shura Council in Bahrain approved amendments to the 2018 VAT law meaning the current 5% VAT rate will increase to 10% from 1 January 2022. The Shura Council also approved an increase in social welfare support allowances by 10%. The VAT increase is expected to net up to BD490m through full VAT implementation and will go towards reducing the total deficit expected for 2022 from BD1.112b to BD823.528m. To read more click here.