The article further states a supplier can continue with 5% VAT for a contract signed on or before the 31st of December 2021 and becomes effective after the date of enforcement of the new VAT law.
Meaning, one could continue with 5% VAT until the end date of the contract, or contract renewal or amendment date, or a year from the 1st of January 2022. However, if the contract period exceeds 2022, the VAT rate will change to 10% on the supplies spanning after 2022.
Source: newsofbahrain.com
Latest Posts in "Bahrain"
- VAT Refund Process in Bahrain for Foreign Businesses: Eligibility, Expenses, and Application Guide
- National Bureau for Revenue Updates VAT Guides on Manpower, Real Estate, and Financial Services
- Parliament to Debate VAT Exemption for Low-Income Bahrainis Earning Under BD600 Monthly
- Bahrain’s VAT Policy Praised for Transparency, Clarity, and Ongoing Taxpayer Engagement
- Bahrain Updates VAT Guide: New Rules for Outsourced Services and Employee Secondment
