Insurance Industry VAT Guidance Notes Released
- Apr 20, 2015 - 4:58:01 PM
Nassau, Bahamas - The Value Added Tax
(VAT) Department of the Ministry of Finance has released the VAT
Guidance Note as it relates to the Insurance Industry. The Public is
advised that the Insurance Guidance is to be read in conjunction with
the VAT Act 2014 Act and Regulations 2014.
guidance notes reflect the Comptroller’s position on the administration
and enforcement of the law relating to insurance and were prepared
after intensive consultation and workshops with the insurance sector.
The public is further advised that they can view the Insurance Industry...
Ministry of Finance: No Reversal on the VAT Treatment of Insurance
- Nov 27, 2015 - 5:21:15 PM
The Ministry of Finance takes strong exception to the report in today’s
newspaper, which suggests that officials in the ministry and the VAT
Department have reneged on the understanding of insurance policies
renewed before July 1st, 2015 and how they are to be treated under
Contrary to views attributed to representatives of the insurance
industry, the ministry never agreed that polices on which premiums were
exempt from VAT would accrue VAT credits when insurers paid out claims
triggered on or after July 1st 2015...
Department of Inland Revenue Launches New Website
- Nov 9, 2015 - 7:54:36 AM
Nassau, Bahamas - The Department of Inland Revenue (DIR) wishes to advise the public that it now has a new website.
It can be accessed in two ways...
The website is more user-friendly and gives access to information on
Value Added Tax (VAT), Business License, Real Property Tax and First
Home Owners Exemption...
Department of Inland Revenue Enforcing Business Licences Penalties and Surcharges
- Nov 8, 2015 - 9:47:32 PM
Nassau, Bahamas - The Department of Inland Revenue (CRA) reminds the
public that fines and penalties are now being imposed as a result of the
July 2015 amendment to the Business Licence Act.
The department also reminds the public that the deadline for filing
business licence renewal applications is January 31st and the deadline
for the payment of taxes is March 31st...
Department of Inland Revenue Staff to Travel to Long Island
- Nov 5, 2015 - 10:25:09 PM
Nassau, Bahamas - The Department of Inland
Revenue (DIR) will be in LongIsland next week to allow business owners
to have the opportunity to meet with them and discuss the new Business
Licence online system which is part of the existing Online Tax
Administration System (OTAS).
The team will be in town from Monday, November 9th to Wednesday, November 11th, 2015.
OTAS will provide businesses with a simple, user-friendly, online
application and payment system. This is the same system currently being
used for Value Added Tax (VAT)...
VAT Penalties and Fines Enforced
- Sep 25, 2015 - 12:13:17 PM
Nassau, Bahamas - The Department of Inland Revenue encourages business
owners to ensure that their Value Added Tax (VAT) returns are filed and
paid on time to avoid facing penalties.
The Department is now activating the automatic enforcement of penalties
for late returns. Penalties for late filing and late payments are as
VAT Dept. urges taxpayers to make use of the message tab in the Online Tax Administration System
- May 20, 2015 - 4:02:11 PM
The Value Added Tax
(VAT) Department of the Ministry of Finance urges taxpayers to make use
of the message tab in the Online Tax Administration System (OTAS) to
effectively manage their accounts and communicate with the VAT
For all electronic correspondence regarding VAT
account enquiries, taxpayers are encouraged to use their online account
instead of the following email addresses -
email@example.com or firstname.lastname@example.org...
VAT Update: Checking the Online Tax Administration System
- May 18, 2015 - 10:11:26 AM
The Value Added Tax
(VAT) Department of the Ministry of Finance advises taxpayers of the
importance of regularly checking their emails, using the Online Tax
Administration System(OTAS), for VAT updates and relevant information to
are encouraged to check their messages to avoid missing out on
pertinent information, reminders, guidance updates and more.
to comply with the VAT Act will result in fines, penalties or
imprisonment.For more information contact the VAT Department...
Bahamas Department of Inland Revenue Introduces Online System
- Mar 18, 2015 - 11:38:58 AM
March 18th , 2015 (Nassau, Bahamas) -The
Department of Inland Revenue would like to advise the public of the
introduction of its new online portal for Business Licence that is
coming in April, 2015.
This online portal will provide businesses with a simple, user-friendly, online application and payment system.
system will also provide an easy online form that requests similar
information/documentation as the paper-based document. It will generate
an automatic e-mail response confirming that you have submitted an
application and/or payments...
Ministry of Finance Explains Limitation on Flat Rate VAT Scheme for Grand Bahama Port Authority Licensees
- Mar 18, 2015 - 3:13:37 AM
Bahamas– The Ministry of Finance is providing more clarity on the Flat
Rate Filing Scheme, as regard its non-availability for Grand Bahama Port
Authority (GBPA) Licensees.
"The 4.5 percent flat rate was never
conceived for Port Authority Licensees. We stated this in our Guidance
Notes and in the VAT Rules which were published. Today's story in the
press gives the impression that there has been a change in policy on use
of the scheme. There has been no revision," said Financial Secretary
and Acting VAT Comptroller, John Rolle...
All small businesses placed on simplified VAT returns scheme
- Mar 15, 2015 - 7:51:51 PM
Nassau, Bahamas- VAT
Comptroller has now approved all small businesses with $1 million or
less in revenues to use the Cash Accounting Scheme. "These businesses do
not need to take any other steps to use this simplified approach to
complete their returns," said a VAT Department spokesperson. "It will be
available when they submit their first return in April."
Registrants have reported annual sales of $1 million or less, and will
therefore be able to benefit from this process. Effective immediately,
they are all placed on the Cash Accounting Scheme. If a business
insists, it can go back to using accrual accounting, although it is not
expected that this option will be chosen often...
VAT Rule 2015-008 pertaining to Public Entertainment
- Mar 13, 2015 - 5:00:51 PM
A. Authority This Rule is made under section 17 of the Value Added Act, 2014.
B. Legislation All
legislative references are to the Value Added Tax Act, 2014 and/or the
Value Added Tax Regulations 2014, unless otherwise stated.
C. This Rule applies in respect of: Value Added Tax Act, 2014 Sections 2, 19 & 22
D. Application of Rule This
Rule is for the purpose of determining whether a public entertainment
activity will be subject to VAT and to define who qualifies as a
Promoter of Public Entertainment...
Ministry of Finance Pleased with Results of First VAT Filing Deadline
- Mar 11, 2015 - 9:45:18 PM
Nassau, Bahamas – The first monthly filing deadline
for large businesses was on March 2nd, and the Ministry of Finance and VAT Department
are pleased with the results and positive outcomes of the filing process. Nearly,
95 per cent of businesses with revenues of $5 million or greater successfully
completed the filing process for the January tax period.
“We have worked with Bahamian businesses to ensure that they
understand their VAT filing responsibilities and are happy to report that the
vast majority of large businesses had a successful experience,” stated John
Rolle, Financial Secretary...
VAT Private Sector Education Task Force free VAT filing & returns seminar Nassau
- Mar 5, 2015 - 4:48:34 PM
Attend the VAT Private Sector Education Task Force free VAT filing and returns seminar.
seminar will be held on March 11th, 2015 at the Melia Hotel, Cable
Beach. The seminar time will be 9:00 a.m. to 5:00 p.m. You must be a VAT
registrant in order to register to attend. Please note that only one
business representative per company will be allowed to attend.
Lunch will be provided.
For additional details on registration for the seminar, visit www.bahamas.gov.bs/VAT
. On the website select the ‘VAT NOTICES ‘tab then select ‘VAT
EDUCATION TASK FORCE VAT SEMINAR ’from the list. Click on the ‘Register
Here’ link and fill...
(VAT) Freeport area bonded fuel supplies to be monitored with new admin. procedures
- Mar 4, 2015 - 11:59:12 PM
Bahamas - The
Ministry of Finance and VAT Department announced that new administrative
procedures will be put in place to monitor bonded fuel supplies in the Freeport
Area. “We will be working with petroleum
distributors to track fuel sales, so that the proper follow up can be done to
verify that purchases are for business and not personal use,” a spokesperson
A Port Licensee can purchase bonded fuel
without having to pay VAT on such supplies. However, the benefit is only to be
provided for use within the business.
Bonded supplies that are not used within the business are liable for
both the VAT and customs dutie
VAT application for Charities and Fund Raising events
- Mar 2, 2015 - 10:32:28 PM
Nassau, Bahamas -
Since the rollout of VAT at the start of this
year, many charitable organizations in The Bahamas have successfully registered
for VAT and are operating with ease. However, it is important that all such
organizations be aware of the VAT exemptions that may apply to their events as
the work that charities do in The Bahamas is vital for the health and wellbeing
of our nation.
Public attendance at organized charitable
events is exempt from VAT. Exemption is without limit if the items sold for the
fundraisers are donated. If the
organizers buy and then resell the goods for the event, VAT will only have to
be charged if revenue raised in this fashion is expected to
exceed $50,000 per year...
VAT rollout continues to exceed expectations
- Mar 1, 2015 - 2:10:56 PM
NASSAU, Bahamas – As the first VAT filing
deadline approaches on Monday, March 1, and February 28 is the deadline
for the transition to tax inclusive pricing display, the VAT Department
and the Ministry of Finance are pleased with the remarkable progress of
Due to the impressive compliance efforts of Bahamian
businesses so far, the VAT Department does not see a need for official
extension of the deadline for adoption of inclusive pricing displays.
Now enforcement efforts will be heightened to ensure that retailers
fulfil any residual requirements...
Accounting process for VAT video released
- Feb 25, 2015 - 9:37:57 AM
The public is advised that the Value Added
Tax (VAT) Department of the Ministry of Finance has released a short
video to assist VAT Registrants with the accounting process.
short video entitled ‘Accounting for VAT’ will provide taxpayers with
information on how to account for VAT in preparation for the return
filing period. This video should be viewed in conjunction with the
department’s ‘How To File a Return’ video...
VAT Rule 2015-008 Public Entertainment
- Feb 17, 2015 - 8:40:10 PM
This Rule is for the purpose of determining
whether a public entertainment activity will be subject to VAT and to
define who qualifies as a Promoter of Public Entertainment.
Rule applies to persons who provide entertainment occasionally and does
not carry out such activities on a daily or weekly or continuously.
purpose of this Rule is to provide guidance on registration of public
entertainment activity for VAT and is to be used when a taxpayer
requests permission to host a public entertainment activity as defined
by the VAT Act...
Bahamas VAT Department message to persons conducting events for the purposes of public entertainment
- Feb 17, 2015 - 11:12:49 AM
The Ministry of Finance’s Value Added Tax
(VAT) Department wishes to advise
any person conducting events for the
purposes of public entertainment to send a list of scheduled events to
the department as soon as possible.
The list can be emailed to email@example.com
which will generate income from ticket sales and other revenue related
activities must be registered with the department by applying to the VAT
Comptroller before the event is advertised.
activities include sporting events, cultural events, concerts, dinner
parties and balls. A promoter includes non-profit organizations,
religious organizations and charities...