Bahrain: MPs Vote Against VAT On Electricity, Water Services

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The MPs said that the government’s decision to apply VAT on EWA services would overburden the citizens who are already struggling to adjust with the increased expenses. They unanimously voted against the decision.

The EWA, earlier this week had announced that electricity and water services would be subjected to VAT. The announcement confirmed that both electricity and water charges will be charged at a standard 5% applicable from January 2019. The move was heavily scrutinised with many calling for the decision to be overturned.

MP Mohammed Buhamood said that applying VAT on electricity and water charges places a huge burden on the public. He said that EWA services must be exempted from VAT.

Meanwhile, NBT has encouraged the public to make sure that shops clearly display their VAT registration certificate prior to paying the tax.

Consumers in the Kingdom have been urged to ensure that they don’t overpay for goods and services to businesses who may take advantage of the current confusion in the market and charge extra bucks for goods and services.

Source Credit: DT News

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