Bahrain Halves Foreign Worker Tax

By Editorial 26 August, 2013

Bahrain's Cabinet on August 18 approved a proposal to cut the fees for foreign workers in order boost small and medium enterprises.

The monthly fees will be cut from BHD10 (USD26.36) per expatriate to BHD5 for companies which employ less than five workers.

"Small business entities currently constitute 78 per cent of the total number of businesses operating in Bahrain that employ less than five employees and they will benefit from this reduction," said Minister of State for Information Affairs and government spokeswoman Sameera Rajab.

The reduced levy will come into effect on September 01, 2013.

The government suspended the fees for foreign workers in April 2011 to alleviate the impact of financial unrest in the private sector. At first the tax was waived for six months, but later the government decided to extend the measure for up to a year.

Tags: Tax | Business | Employees | Bahrain | Fees | Expats |


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