Bahrain

Living, work, immigration, education & business — official links and practical guides

Key Facts

Basics

Currency
BHD
Region
Middle East
Local time
UTC+3
Asia/Bahrain

Economy

Population
1.59M
GDP (current US$)
$47.11B
GDP per capita
$29,654

Source: World Bank Open Data (CC BY 4.0) · 2024 · Last checked: 2026-07-06

Tax snapshot

Corporate tax
0%
VAT
10%
Rate page ↗
Top individual income tax
0%
Capital-gains tax
No general CGT
  • No personal/corp income tax (ex-oil/gas); 2025 onwards 15% corp tax on large MNEs (Pillar 2) only.
  • Introduced at 5% in 2019-01 and doubled to 10% on 2022-01-01. Operates under the GCC Common VAT Agreement.

Source: National tax authority · Cross-check: OECD · PwC · KPMG · Last checked: 2026-07-16

Headline statutory rates. The income-tax figure includes national surtaxes; any regional or municipal layer is shown beside it. Social contributions and reliefs are excluded. Verify the current rate with the authority before relying on it.

At a glance

A Gulf state with no personal income tax, where the state's revenue from foreign labour comes through the employer instead: work permits, monthly levies and the end-of-service contribution are all employer costs, and residence follows the employer's work permit. The Golden Residency is the main way to stay long-term without one. VAT is 10%, and a 10% corporate income tax is still a draft. Foreign investors can own 100% of a company for most activities, registered online through Sijilat.

Best for

Employees on a regional contract who want a tax-free salary, investors who want 100% ownership with online registration, and long-serving residents or property buyers eligible for the Golden Residency.

Who this may not suit

Anyone who needs residence independent of an employer without meeting a Golden Residency route, or employers who expect to staff entirely with expatriates in a sector with Bahrainisation targets.

Main routes in

Key trade-offs

  • No income tax, but your residence is tied to your employer's work permit unless you qualify for the Golden Residency.
  • Employer costs per expatriate — permit fees, levies, end-of-service contributions — are significant and rising in steps to 2029.
  • Business taxes are low today, but a 10% corporate income tax is in the legislative pipeline.

First steps

  1. 1 Agree the job first: the employer applies for the LMRA work permit and then the residence permit.
  2. 2 Once resident, get your CPR identity card; banks and most services ask for it.
  3. 3 Make sure your lease is in writing and registered with the municipality.

What changes often

  • · Work-permit fees and monthly levies, rising in steps from 2026 to 2029
  • · The status of the draft 10% corporate income tax
  • · Golden Residency thresholds, last changed in November 2025

Permit fees, levies and residence requirements change — confirm them with the Labour Market Regulatory Authority before hiring or applying. Labour Market Regulatory Authority (LMRA) ↗

Living

Work

Immigration & Mobility

Education

Business

Company Registration
Entity types, registration process, required documents, costs, and official registries.
Business Banking
Opening business and personal bank accounts, remote options, required documents, and fees.
Investment
Foreign investment rules, incentives, investment promotion agencies, and restricted sectors.
Tax System
Corporate tax, VAT/GST, personal income tax, capital gains, and filing obligations.
Import & Export
Customs procedures, duties, de minimis thresholds, EORI/registration, and restricted goods.
Trademark & IP
Trademark registration, patents, copyright, official IP offices, and filing costs.
Compliance
Corporate, tax, employment, data-protection, AML/KYC, trade and AI compliance — official regulators and registries.
Corporate Compliance
Annual filings, registered-agent and beneficial-ownership obligations, and the official company registry.
Tax Compliance
Filing calendars, registration thresholds and the official tax authority.
Employment Compliance
Mandatory contracts, payroll and social-insurance registration, and the official labor authority.
Privacy & Data Protection
The country's own data-protection regime, registration duties, and its official supervisory authority.
AML & KYC
Anti-money-laundering and customer-due-diligence obligations, regulated activities, and the official financial regulator.
Import & Export Compliance
Customs registration, controlled/restricted goods, sanctions screening, and the official customs authority.
AI Regulations
The country's own AI governance approach, risk tiers, transparency duties, and its official authority.

Official Resources

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