Three Safe Harbours
1. De Minimis Exclusion
Revenue < €10M AND profit < €1M in a jurisdiction → top-up tax deemed zero. No further GloBE calculation required. Available permanently. Bahrain relevance: Small constituent entities in Bahrain may qualify if below thresholds.
2. Transitional CbCR Safe Harbour
Uses existing Country-by-Country Report data. Three tests: (1) De minimis test — total revenue < €10M, PBT < €1M. (2) Simplified ETR test — simplified ETR ≥ transition rate (15% for 2026). (3) Routine profits test — profit ≤ SBIE amount. Available 2024-2026 only.
3. Permanent Safe Harbour (QDMTT)
If a jurisdiction enacts a Qualified DMTT, its top-up tax is deemed zero under IIR/UTPR. Bahrain has enacted DMTT Law No. 11 of 2024 — designed as a QDMTT. This means Bahrain's DMTT should satisfy the QDMTT safe harbour, preventing double top-up taxation.