The National Bureau for Revenue (NBR) in Bahrain has been actively conducting inspections to ensure businesses comply with VAT regulations. During the month of October, a total of 174 inspections were carried out, leading to the identification of 37 violations. As a result, administrative fines were imposed on the offending establishments. Some outlets were even forced to close down due to their involvement in VAT and excise evasion.
The NBR has been taking a strong stance against non-compliant businesses and has warned of legal measures and criminal action for those found to be violating the regulations. In an effort to track excise goods and protect consumers, the NBR has implemented the Digital Stamps Scheme on cigarettes. This scheme allows for the monitoring of excise goods through the use of digital stamps, ensuring transparency and accountability in the market.
Inspection campaigns are an ongoing effort by the NBR to guarantee that businesses are adhering to VAT regulations. It is mandatory for companies with an annual turnover exceeding BD37,500 to be registered for VAT. Currently, there are over 23,210 registered VAT payers in Bahrain. Additionally, 1,045 stores have registered for tourists’ refunds, further emphasizing the importance of compliance with VAT regulations in the country.
To assist businesses and address any concerns or inquiries, the NBR has set up a call center that is readily available to provide information and guidance. This call center also serves as a platform for reporting any violations that may be observed. By encouraging the public to report non-compliant businesses, the NBR aims to ensure a fair and transparent market environment.
In addition to the NBR’s efforts, the Labour Market Regulatory Authority (LMRA) has also been actively conducting inspections to enforce labor regulations. In the month of October alone, the LMRA conducted a total of 883 inspections. As a result of these inspections, violators were detained and subsequently deported.
The LMRA plays a crucial role in safeguarding the rights of workers in Bahrain. By conducting regular inspections, they aim to identify any violations of labor laws and take appropriate action against the offenders. This ensures that workers are treated fairly and that employers adhere to the established labor regulations.
It is important for businesses in Bahrain to understand and comply with both VAT and labor regulations. Failure to do so can result in severe penalties, fines, and even closure of the establishment. Therefore, it is advisable for businesses to stay informed about the latest updates and requirements to avoid any legal complications.
In conclusion, the NBR’s recent inspections have highlighted the importance of compliance with VAT regulations in Bahrain. With ongoing efforts to track excise goods and protect consumers, the NBR is taking a proactive approach to ensure a fair and transparent market environment. Additionally, the LMRA’s inspections serve as a reminder for employers to adhere to labor regulations and treat workers fairly. By staying informed and compliant, businesses can avoid legal troubles and contribute to the overall growth and development of Bahrain’s economy.
