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Commercial Registration

Caution

Commercial registration fines under Resolution No. (47) of 2026 and how to avoid them

The Ministry of Industry and Commerce has issued Resolution No. (47) of 2026, which sets out twelve commercial registration violations that carry administrative fines ranging from 20 to 2,500 BD. Violations concerning ultimate beneficial owner data and the tax number have applied since 16 October 2026, and the remaining violations apply six months after the resolution was published.

Author: Ahmed Ashoor, Chief Executive OfficerPublished: Last updated:

What has changed

The Official Gazette, in issue No. 3912 dated 15 October 2026, published Resolution No. (47) of 2026 of the Minister of Industry and Commerce specifying the violations that carry administrative fines. The resolution was issued on 13 October 2026 under the Commercial Registration Law promulgated by Decree-Law No. (27) of 2015, and sets out a clear schedule of the violations, the fine for each one, and when it is calculated.

The resolution applies in two phases:

Items 9 to 12, which concern ultimate beneficial owner data and the tax number, apply from the day after publication, that is, since 16 October 2026.

Items 1 to 8 apply six months after the date of publication, that is, in April 2027.

Who the resolution covers

The resolution covers every holder of an existing commercial registration in the Kingdom of Bahrain, whether a sole establishment or a company, regardless of the size of the business or the number of employees. Its effect is not limited to new establishments: it extends to registrations that have existed for years, especially those where the partners or ownership changed without the ultimate beneficial owner data being updated.

Violations in force now (since 16 October 2026)

ViolationFine (BD)When it is calculatedHow to avoid it
Failing to provide additional information requested about the ultimate beneficial owner100 to 1,000ImmediatelyRespond to any request from the Ministry about the ultimate beneficial owner within the set deadline, and keep ownership documents ready
Failing to disclose the ultimate beneficial owner, or disclosing them untruthfully1,000 to 2,500ImmediatelyRegister the actual ultimate beneficial owner on the Sijilat system, and update it whenever the partners or ownership percentages change
Failing to disclose some of the ultimate beneficial owner's data (address, contact number, nationality), or disclosing it untruthfully1,000 to 2,500ImmediatelyCheck that the contact details, nationality and identity documents registered for each ultimate beneficial owner match reality, and update them as soon as they change
Untruthfully declaring that there is no tax number100 to 1,000ImmediatelyIf the establishment is registered with the National Bureau for Revenue, enter its tax number in the registration exactly as issued

Violations that apply from April 2027

ViolationFine (BD)When it is calculatedHow to avoid it
Using an untrue registration number200ImmediatelyUse the correct, valid registration number on invoices, printed materials, signage and contracts
Removing administrative closure stickers500ImmediatelyDo not remove any closure sticker, and resolve the reason for the closure with the Ministry first
Carrying on business without a licence or commercial registration500ImmediatelyDo not start work before the commercial registration is complete and the licence is issued
Carrying on commercial activity during an administrative closure500ImmediatelyStop the activity entirely until the closure is officially lifted
Failing to provide documents or information requested by the competent department50One week after the violation is recorded on the registrationFollow the registration's notifications continuously and respond to requests as soon as they arrive
Carrying on another commercial activity without a licence100One month after the violation is recorded on the registrationAdd any new activity to the registration and license it before carrying it on
Not displaying the commercial registration certificate inside the shop20One month after the violation is recorded on the registrationDisplay the valid certificate in a visible place inside the shop and replace it after every renewal
The establishment not being present at its registered address50Six months after the violation is recorded on the registrationUpdate the business address on the registration as soon as you move to a new location

The impact on the business owner

The highest fines are already in force

The highest-value violations in the resolution, those concerning the ultimate beneficial owner, were given no grace period, and the fine for a single item can reach 2,500 BD. This puts registrations where the ultimate beneficial owner was recorded at incorporation and then not updated after a change in partners, address or contact details directly at risk.

A violation appears on the registration before it becomes a fine

For items 5 to 8, the resolution ties the calculation of the fine to a set period from the date the violation is recorded on the registration: one week, one month or six months depending on the item. In other words, the violation is recorded first, and the fine is calculated once the period has passed. The sound approach is to resolve a violation as soon as it is recorded, without waiting for the period to run out.

Accurate data is now a financial obligation

The resolution does not only penalise missing data; it also penalises untruthful disclosure. Entering data that does not match reality, even unintentionally, falls under the same items.

What you need to do now

  1. 1

    Review the ultimate beneficial owner data on Sijilat

    Name, nationality, contact details, identity documents and ownership percentage, and make sure they match the current reality, especially if any partner has changed since incorporation.

  2. 2

    Check the tax number field

    If the establishment is registered with the National Bureau for Revenue, its number must appear on the registration.

  3. 3

    Prepare for the second phase before April 2027

    Match the registered address with your actual location, and make sure every activity you carry on is added to the registration and licensed, and that the valid registration certificate is displayed inside the shop.

  4. 4

    Follow the registration's notifications continuously

    Any request for documents from the competent department has a short deadline before the fine is calculated.

Official reference

Resolution No. (47) of 2026 of the Minister of Industry and Commerce specifying the violations that carry administrative fines, issued on 13 October 2026 and published in the Official Gazette, issue No. 3912, dated 15 October 2026, under the Commercial Registration Law promulgated by Decree-Law No. (27) of 2015.