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Bahrain

Western Asia · BH · 44 treaties

What is the income tax rate in Bahrain?

Bahrain has a 0% personal income tax rate and a 0% corporate tax rate.

Tax profile

Corporate income tax 0%
Withholding — dividends 0%
Withholding — interest 0%
Withholding — royalties 0%
VAT / GST (standard) 10%
Personal income (top rate) 0%
Capital gains n/a
Tax system No Income Tax
Residency threshold 183 days
Exit / departure tax No
CFC rules No
Transfer pricing None
Digital nomad visa No
Digital services tax none
Global minimum tax (Pillar 2) None

Common questions

What is the VAT rate in Bahrain?
The standard VAT rate in Bahrain is 10%.
How long does it take to become a tax resident in Bahrain?
It takes 183 days to establish tax residency in Bahrain.
Does Bahrain have a crypto tax?
Cryptocurrency in Bahrain is exempt from tax, including long-term.

Tax residency

Easy to leave

What makes you a tax resident — and how hard it is to stop being one.

Bahrain has no general personal income tax, and its official guidance says residence is not defined for PIT purposes. That means there is no citizen-based or domicile-based tail to break; leaving Bahrain is generally easy for tax residency purposes because there is no PIT residency status to unwind.

Source: National Bureau for Revenue (Kingdom of Bahrain)

Tax treaty network (68)

In-force double-tax treaty partners. Treaty-reduced withholding (dividends / interest / royalties) shown where the official source publishes a rate; otherwise the country's statutory rate applies unless the treaty text provides a reduction.

PartnerDivIntRoy
Albania
Austria
Azerbaijan
Bangladesh
Belgium 5% 5% 5%
Bulgaria
Brunei
Belarus
Canada 5% 5% 5%
China 10% 10% 10%
Cyprus
Czechia
Denmark
Egypt 5% 5% 5%
Estonia
Spain 5% 5% 5%
Finland
France 5% 5% 5%
Gabon
Georgia
Greece
Hungary
Indonesia 5% 5% 5%
India 5% 5% 5%
Iran 5% 5% 5%
Iraq
Italy 5% 5% 5%
Jordan 5% 5% 5%
South Korea 5% 5% 5%
Kuwait 5% 5% 5%
Lebanon
Luxembourg
Libya
Morocco 5% 5% 5%
Mongolia
Malaysia 5% 5% 5%
Netherlands 5% 5% 5%
Norway
Philippines 5% 5% 5%
Pakistan 5% 5% 5%
Poland
Romania
Russia
Sweden
Singapore 5% 5% 5%
Slovenia
Syria 5% 5% 5%
Thailand 5% 5% 5%
Tunisia 5% 5% 5%
Turkey 5% 5% 5%
Ukraine
United States of America 5% 5% 5%
Uzbekistan
Vietnam
Yemen
Brazil 15% 15% 15%
Germany 5% 5% 5%
Hong Kong S.A.R. 10% 10% 10%
Japan 5% 5% 5%
Mauritius 5% 5% 5%
Oman 5% 5% 5%
Qatar 5% 5% 5%
Saudi Arabia 5% 5% 5%
South Africa 15% 15% 15%
Switzerland 5% 5% 5%
United Arab Emirates 5% 5% 5%
United Kingdom 5% 5% 5%
Sudan 5% 5% 5%