Know all about VAT return filing in Bahrain

1. Know all about VAT return filing in Bahrain Overview: Bahrain VAT Services came into effect on 1st January 2019in its country. Since it was all a new concept for every businessman or employee, so certain specific rules have been put in place for them aiming to cover related concerns and queries. ● ● VAT is 5%. 0% VAT on specific goods and services and VAT exemption on some other. What is VAT? An indirect tax levied on • consumer spending ● Goods and services being supplied. ● All the imports. Qualifying factors for VAT registration Qualifying factors for Bahrain VAT Registration are applicable to goods and services if it is made: ● ● ● ● ● In Bahrain By a taxable person; On all the supplies exempting few or zero-rated As a consumption tax with end consumers bearing the cost. Filing of VAT return must be done by all the taxpayers in which they need to submit the details of taxable sales and purchases related transactions. All the businesses which are qualifying under Bahrain VAT Services must levy 5% VAT on all the supplies listed under taxable slab and pay the entire collected VAT amount to the government. What are VAT Returns? Are cord of all sales and purchases made during a particular tax period. It consists of all the information related to collections, payments and exemption in context of Bahrain VAT services during this tax period. Bahrain's VAT return filing process Here is the process to file the VAT returns in Bahrain:

2. ● ● ● Filing must be done on NBR site to ease out the accessing process. Supply details must be entered manually by the taxpayer in the VAT return type. An acknowledgement will be received either through email or SMS after successful return filing. Timely returns must be filed. ● Amendment of Tax Returns Who can re-file? Any registered taxpayer with the net tax value less than BHD 5000can re-file an amendment. How can re-file? Amended return form must be filled with amended amount details with reason for the difference. Original tax return details must be attached with it with no further change in anything else. What is the time-limit for that? 30 days is the time period to file the amended tax return to the authority. What are the penalty charges on it? No fine will be levied on the taxpayer in between 30 days of receiving the original tax return.