What is a Certificate of Residence (COR)?

A tax residency certificate is an official document issued by the government of a country o confirm that the applicant is a resident of the country for tax purposes.

How to obtain a tax residency certificate in Bahrain?

In the Kingdom of Bahrain, the tax residency certificate is issued by the Foreign Tax Relations Directorate (FTRD) for eligible individuals, Business, and government entities who are resident in the Kingdom of Bahrain.

Let us go through the various procedures to obtain the Certificate of Residence (COR) in Bahrain.

How to apply for a Certificate of Residence in Bahrain?

Those who need to obtain a certificate of residence for tax purposes must submit an official request letter with the Foreign Tax Relations Directorate.

The official request letter must contain in detail the purpose for obtaining the Certificate of residence.

At times the Certificate of residence is required by the tax treaty or domestic law of other countries. In such a case the applicant can include in the request the reference to the special article in such a tax treaty or domestic law.

Please note that any such reference should be supported by the opinion of a qualified independent legal counsel or other independent qualified experts.

What are the requirements to be met by the individual applicants to obtain the Certificate of Residence?

The person applying for the Certificate of Residence must be physically present in Bahrain for at least 183 days during the year for which the Certificate of Residence is required.

The Foreign Tax Relations Directorate (FTRD) will directly coordinate with the Nationality, Passport & Residence Affairs (NPRA) to ensure that the applicant meets this requirement.

Failing to meet this requirement will result in the rejection of the application for a Certificate of residence.

What are the documents required to be given along with the application for Certificate of Residence?

The copies of the following documents are required to be filed along with the official request for Certificate of Residence in the case of Individuals:

1. 1. Passport of the applicant.
   2. A valid CPR/Bahraini Identity Card of the applicant.
   3. If the applicant is an expat or a non-Bahraini then he must produce a copy of the Residency Permit/Visa for the year for which the Certificate of Residence is required.
   4. A justification from any relevant body in the country who requires the Certificate of residence. This can be a justification from the correspondent tax authority of the country, stock exchange, any bank, etc., in the respective country.
   5. The contact details of the applicant.
   6. The name, address, telephone number, and e-mail address (contact details) of the correspondent tax authority or any other relevant body of the country in which the certificate of residence is required.
   7. Any evidence showing the applicant’s residential address in Bahrain. This can be EWA bills for the last 3 months, Lease Agreement, CPR reader printout, valid Bahraini Driving License, etc.
   8. In case the correspondent tax authority requests to ascertain the amounts of taxes paid (if any) then evidence of payments in relation to any withholding taxes would be required.
   9. In case the application is made by an agent then a letter of engagement appointing the agent to act on behalf of the applicant must be provided.

 The copies of the following documents are required to be filed along with the official request for Certificate of Residence in case of Businesses:

1. 1. Valid Commercial Registration certificate of the business in Bahrain.
   2. Valid licenses for financial businesses/institutions, or professional licenses for consultancy firms, lawyers, accountants, and auditors issued by the relevant regulatory bodies in Bahrain.
   3. A justification from any relevant body in the country who requires the Certificate of residence. This can be a justification from the correspondent tax authority of the country, stock exchange, any bank, etc., in the respective country.
   4. The contact details of the applicant.
   5. The name, address, telephone number, and e-mail address (contact details) of the correspondent tax authority or any other relevant body of the country in which the certificate of residence is required.
   6. In case the correspondent tax authority requests to ascertain the amounts of taxes paid (if any) then evidence of payments in relation to any withholding taxes would be required.
   7. In case the application is made by an agent then a letter of engagement appointing the agent to act on behalf of the applicant must be provided.

The copies of the following documents are required to be filed along with the official request for Certificate of Residence in case of Government Entities:

1. 1. The contact details of the applicant.
   2. The name, address, telephone number, and e-mail address (contact details) of the correspondent tax authority or any other relevant body of the country in which the certificate of residence is required.
   3. A justification from any relevant body in the country who requires the Certificate of residence. This can be a justification from the correspondent tax authority of the country, stock exchange, any bank etc., in the respective country.
   4. In case the correspondent tax authority requests to ascertain the amounts of taxes paid (if any) then evidence of payments in relation to any withholding taxes would be required.
   5. In case the application is made by an agent then a letter of engagement appointing the agent to act on behalf of the applicant must be provided.

Please note that the copies of all the above-mentioned documents must be certified by an independent lawyer, notary or an auditor. The COR applicant must produce the original documents along with the certified photocopies to NBR officials for validation.

There is no time limit to obtain the Certificate of Residence. It is dependent on the completeness of the required information provided.

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