Notice of Tax Rule Changes in Bahrain
The Bahrain Value Added Tax (“VAT”) applies to the supply of cross-border digital services by non-resident service providers to Bahrain customers. Beginning on October 1, 2020, Alibaba Cloud is required to charge the Bahrain Value Added Tax (“Bahrain VAT”) at a rate of 5% on electronic services provided remotely to Bahrain individual customers. Alibaba Cloud will not be required to charge the Bahrain VAT on services provided to Bahrain enterprise customers that have filled in the Bahrain Tax Registration Number (“TRN”) on their account. If enterprise customers have not filled in the TRN on their account, Alibaba Cloud will still charge the Bahrain VAT at a rate of 5%. All VATs that are collected from Bahrain customers will be remitted to the Bahrain tax authority.
Starting from September 29, 2020, Alibaba Cloud will prompt Bahrain enterprise customers (all enterprise main accounts that pay directly to Alibaba Cloud, reseller’s end users and sub-accounts associated to an enterprise main account are not included) that do not fill in the TRN to complete it during the purchase process. You can also go to the tax number management page under Billing Management and fill it in by yourself.
If you have any further questions, please feel free to contact your Alibaba Cloud business representative or our support team by opening a support ticket through the console.
Thank you for your ongoing support.