Bahrain Corporate Income Tax
Detailed corporate income tax rates and rules for Bahrain in 2026.
Bahrain does not impose corporate income tax on most businesses. Only oil and gas companies pay a flat 46% tax on net profits. From January 2025, Bahrain introduced a 15% Domestic Minimum Top-up Tax (DMTT) applicable to large multinational enterprise groups with global revenue of EUR 750 million or more, aligning with the OECD Pillar Two framework.
Standard Rate
0%
Additional Notes
Bahrain's zero corporate tax (for non-oil companies) makes it a unique jurisdiction for business incorporation. The introduction of DMTT for large multinationals is the first broad-based corporate taxation measure. Companies in the Bahrain Financial Harbour and other free zones operate under the same zero-tax regime as onshore companies.
How Bahrain Corporate Tax compares
Bahrain’s corporate tax rate of 0% is the 196th highest of 203 countries TaxAtlas tracks, below the global average of 22.2% and Asia’s regional average of 19.7%.
