Manama, Feb. 1 (BNA): The National Bureau of Revenue, in cooperation with the concerned authorities, conducted more than 3,000 inspection visits to the local markets of the governorates of the Kingdom of Bahrain during the past year 2022.
The campaigns resulted in the reporting of 1,700 violations that required the imposition of administrative fines in accordance with the Value Added Tax and Excise Tax Law. In addition to monitoring many suspicions related to value-added tax and tax evasion, which required the precautionary closure of many companies.
Accordingly, NBR has taken legal action against the offending companies, and has referred those found to have committed one of the offenses of evasion to the competent authorities to file a criminal case against them, which may be punishable by imprisonment for five years and a fine equal to three times the amount of VAT due according to the Tax Law. value-added, or one year imprisonment and a fine equal to double the evaded tax according to the value-added tax law.
These campaigns were organized as part of the NBR’s ongoing oversight efforts to protect consumer rights and enhance the level of trade compliance, and commitment to strengthen oversight of local markets to ensure effective implementation of VAT and taxes, which includes implementing a digital stamp system on cigarette products to ensure that companies are aware of the scheme and the presence of stamps Mandatory digital on all cigarette products available in the local markets, in addition to spreading the necessary awareness of the procedures to be followed.
These efforts come as part of the regular inspection and control procedures that are implemented using the latest field electronic tools and mechanisms adopted by the National Bureau of Revenue during inspections, which contribute to tightening control over local markets, addressing tax evasion, and preventing tax evasion. Possession, trade, sale or supply of products that have not met VAT or tax obligations, which includes the digital stamp scheme on cigarette products in domestic markets that came into effect on October 16, 2022.
The National Statistical Office also affirmed the continuation of inspection campaigns in cooperation with the concerned authorities, with the aim of urging all companies registered with the agency to adhere to the application of legislation to prevent violations and ensure the success of the various stages of implementation.
For inquiries related to VAT and taxes or to report any irregularities, the NBR Call Center can be reached at 80008001 available 24 hours, 7 days a week, or through the National Suggestions and Complaints System (Tawasul), [email protected] For inquiries related to VAT and [email protected] For digital stamp system queries.
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