
Gov’t signs tax pact with Bahrain
The new tax rules will apply on 1 April 2026
Hong Kong and Bahrain signed a Comprehensive Avoidance of Double Taxation Agreement (CDTA) in March 2024.
Under the agreement, companies and residents of both places will not have to pay tax twice on a single source of income.
The agreement will also allow companies and residents of Hong Kong and Bahrain to have certainty on tax liabilities and save tax when they engage in cross-border business activities, thereby helping to promote bilateral trade and investment.
The new tax rules will apply for any year of assessment beginning 1 April 2026.
Hong Kong has signed CDTAs with 51 tax jurisdictions so far.