English text status

English translation published by the NBR in its bilingual Regulations file (marked unofficial). The Arabic text published in the Official Gazette remains the legal reference in the event of any discrepancy.

Practical summary

Basic and preventative Healthcare Services are zero-rated where they are qualifying medical Services provided by qualified medical professionals or institutions under Bahrain law. Examples include general and specialist treatment, surgery, dentistry, mental health, physiotherapy, diagnostics, nursing and vaccination. Cosmetic procedures qualify only when part of treatment for a medical condition determined by a qualified professional.

Who should read this?

Hospitals, clinics, practitioners, accountants, insurers and patients.

Why does it matter?

Licensing and treatment purpose matter. A Service is not zero-rated merely because it occurs in a clinic, while a reconstructive procedure can qualify where medically required and documented.

Qualifying medical ServiceQualified providerTherapeutic cosmetic procedure only

Current text

A. Tax shall be imposed at the zero rate on Healthcare Services. Such Services must be qualifying medical Services provided by qualified medical professionals or qualified medical institutions pursuant to the laws and legislation in force in the Kingdom. B. Qualifying medical Services include the following examples: 1. General medical health Services, 2. Specialist medical health Services, including surgery, 3. Dental Services, 4. Services related to the treatment of mental illnesses, 5. Occupational or surgical health Services, 6. Speech therapy, 7. Physiotherapy provided by a qualified medical professional, .( 8. Sight and hearing tests, 9. Nursing care (including care in a nursing home), 10. Services relating to diagnosing an illness, including the analysis of any samples and x-rays, 11. Vaccinations, 12. Health testing and screening that is undertaken under a local law, documented policy or contractual obligation. C. A cosmetic procedure shall not be considered as a qualifying medical service unless provided as part of treating a medical condition as determined by a qualified medical professional. D. Qualified medical institutions, for the purposes of applying the provisions of this Article, include hospitals, physiotherapy centres, medical centres, private clinics, alternative medical centres and clinics for practicing any supporting medical professions licensed by the National Health Regulatory Authority, or under the supervision of the Ministry of Health. Qualified medical professionals, shall mean Persons who are licensed as practitioners by the National Health Regulatory Authority or under any other authorised medical body in the Kingdom, and include but are not limited to: 1. Medical practitioners. 2. Midwives. 3. Nurses. 4. Mental health specialists. 5. Dentists. 6. Opticians. 7. Radiologists. 8. Pathologists. 9. Paramedics. 10. Pharmacists.

Healthcare Service test

  1. 1

    Identify diagnosis or preventative or therapeutic purpose.

  2. 2

    Verify professional or institution licensing.

  3. 3

    Link the Service to the patient and treatment record.

  4. 4

    For cosmetic procedures, evidence treatment of a medical condition.

  5. 5

    Separate commercial or investment activities.

  6. 6

    Classify associated Supplies under Article 70.

Connected provisions

Direct legislative link

Law — Article (53)

Zero-rated healthcare

The Law sets zero rating and this Article defines qualifying Services and providers.

Open connected Article
Direct legislative link

Regulations — Article (70)

Associated Healthcare Supplies

It distinguishes treatment components from separate comfort Supplies.

Open connected Article
Thematic link

Regulations — Article (71)

Medicines and equipment

Independent product Supplies use official lists.

Open connected Article

Official guides and tools

Official text

VAT Executive Regulations

Article (69)

Official guide

VAT General Guide — Version 1.15

Zero-rated Supplies

Connected Madar tools

Connected Madar tools

Tax Invoice Centre

Check the invoice route and issue deadline, and calculate VAT for a single transaction.

Illustrative example by Madar

Cosmetic or medical treatment?

An elective appearance-only procedure is not automatically zero-rated. Reconstructive surgery after injury, documented in a medical treatment record and performed by a licensed professional, may be tested as qualifying treatment despite a cosmetic effect.

Questions to help you apply it

  • What is the medical purpose?
  • Is the provider licensed?
  • Is a cosmetic procedure therapeutic and documented?
  • Are associated Supplies separately classified?