VAT to create thousands of jobs in Bahrain

Manama : The introduction of Value Added tax (VAT) in 2018 is expected to create thousands of jobs for accountancy executives, say experts.

Financial experts such as accountancy executives are set to benefit from an increased demand for their services as VAT tax gets implemented in the region. Bahrain and other GCC countries agreed on the terms of implementing VAT during a Ministerial meeting in Riyadh on June 16. Experts forecast that thousands of jobs will be created in GCC countries for accountancy executives. 

According to a report more than 5,000 jobs will be generated from the introduction of VAT tax. “We are predicting that by 2018 alone there will be a minimum of 5,000 new jobs created in the GCC,” Morgan McKinley Managing Director Trefor Murphy was quoted as saying by Zawya. 

“Competition for recruitment of staff with VAT expertise is going up in the region. Staff with the requisite skills in VAT are in short supply as businesses in the region are also competing for new recruits from a limited pool of expertise. In the past, new recruits were sourced from markets such as India and Egypt to meet the deficit of skillful candidates,” said EY Middle East and North Africa (MENA) Indirect Tax Leader Finbarr Sexton. “However, with these two countries also in the middle of VAT initiatives, the availability of staff from these markets is in short supply as well.” 

Middle East indirect taxes partner at PwC Jeanine Daou said, “Companies across the GCC should take action now to prepare for the implementation of the new tax systems.”