News : Local
VAT: Important Updates for Financial Services, Real Estate and Tourism - Nov 16, 2014 - 11:52:05 PM

VAT Department Preparing Revised Guides: Important Updates for Financial Services, Real Estate and Tourism

The Ministry of Finance and the VAT Department continue to incorporate private sector feedback into revision of the VAT guidance notes. The notes foreshadow the administrative framework for the VAT. “We want to ensure that the private sector receives ongoing clarity about the VAT framework. The next version of the sector specific guidance notes and the general VAT Guide will do this,” a spokesperson for the Ministry said. “In addition we will introduce the first set of detailed guidance on pricing, accounting and record keeping.” Amended VAT regulations are now ready for promulgation...

News
Bahamas business VAT registration list of required documents & info - Oct 17, 2014 - 1:06:59 PM

VAT REGISTRATION CHECKLIST

• Registered Business Name.

• Business Registration Number (available from Registrar General Department).

• Business National Insurance Number.

• Personal National Insurance Number.

• Business License Number and date Licensed Issued.

• Business License Control Number.

• Contacts Details: Name, Telephone Number, Email Address and Exact Business Address/Location (not registered office). (Please include secondary contact for emergency Purposes ...

News : Bahamas Information Services Updates
Bahamas Gov't to be Flexible About Pricing Display During Onset of VAT - Sep 30, 2014 - 11:42:49 AM

The Ministry of Finance announced there will be some leniency with pricing display during the early days of the VAT.

This statement comes after retail businesses voiced concerns about the amount of effort that will be required to change all display prices immediately on January 1st. “We recognize that many businesses, such as retail grocers, will need extra days and perhaps weeks beyond January 1st to replace sticker prices on all shelved inventory. As such, they will be given until February 28 to complete the process,” Financial Secretary, John Rolle said. As of March 2015, enforcement of VAT inclusive price displays will become more absolute.

Under the VAT Act, VAT registrants will have to display all prices inclusive of any amount of VAT that must be paid. In other words, the 7.5% VAT

News : Bahamas Information Services Updates
Bahamas Customs Publish Details of Transitional Bonded Warehouses for VAT - Sep 25, 2014 - 11:55:09 AM

Nassau, Bahamas - Details of the transitional warehousing arrangements to allow VAT registered businesses to take advantage of the reduction in Customs duties that take effect on January 1st 2015 were released on the Ministry of Finance’s website today.  The arrangements will be managed by the Customs Department, and may require qualifying importers to post a financial bond.

With the bond in place, during the months of November and December, these VAT registrants will be allowed to import items targeted for duty savings without having to pay the taxes up front. Business will have to all report on sales of inventories made before December 31st and pay duty on sold items at the current rates that are in effect.

News : Bahamas Information Services Updates
Bahamas Finance Confirms VAT Applies to GBPA Taxable Services - Sep 18, 2014 - 12:48:17 AM

As a result of recent press reports that suggest possible ambiguity as to the VAT treatment of supplies of services made in the Port area between Grand Bahama Port Authority licensees within the backdrop of the Hawksbill Creek Agreement, the Ministry of Finance has issued this response:

“The Ministry of Finance wishes to reaffirm that the VAT Act that was recently passed by Parliament clearly sets out the VAT treatment of such supplies. Specifically, section 3.(3)(a) states that the VAT Act does not apply where: ‘a supply of goods within the Port Area is made by a taxable person who is a Port Licensee to another Port Licensee and the goods are of a kind and for a use within the customs duties exemptions in clause 2 of Hawksbill’,” said Bahamas Financial Secretary, John Rolle.

News : Bahamas Information Services Updates
Ministry of Finance confirms VAT on supplies of services between GBPA licensees - Sep 16, 2014 - 12:40:27 AM

Ministry of Finance Confirms Application of VAT on Supplies of Services made between Grand Bahama Port Authority Licensees

Recent press reports purport to suggest that there exists ambiguity as to the VAT treatment of supplies of services made in the Port Area between Port licensees.

The Ministry of Finance wishes to reaffirm that the VAT Act that was recently passed by Parliament clearly sets out the VAT treatment of such supplies. Specifically, section 3.(3)(a) states that the VAT Act does not apply where:

“a supply of goods within the Port Area is made by a taxable person who is a Port Licensee to another Port Licensee and the goods are of a kind and for a use within the customs duties exemptions in clause 2 of Hawksbill”. 

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Ministry of Finance Updates general VAT Guide and issues Guidance on Transitional Arrangements - Sep 10, 2014 - 8:40:04 AM

On September 6, the Ministry of Finance issued the VAT Guidance on Transitional Arrangements and a slightly updated version of the general Bahamas VAT Guide.

The transitional arrangements provide information on a number of areas including how the law accommodates commercial contracts which span both 2014 and 2015.

In particular, multi-period contracts that are already in force and continue into 2015 will not have to be rewritten, even though suppliers will still have to account for VAT on such revenues.  Examples of these are construction, commercial leases and commercial rental agreements.  VAT will have to be assessed on the portion of goods or services delivered after December 31 2014.  If the contracts do not already make provision for VAT the law will permit suppliers to issue supplemental bills to recover the VAT.

News : Bahamas Information Services Updates
Bahamas Ministry of Finance Clarifies Treatment of VAT on Pre-existing Contracts - Sep 9, 2014 - 5:39:27 PM

Nassau, Bahamas - The Guidance Note on Transitional Arrangements that was issued on September 6, 2014 provides a summary review of a number of transitional provisions that are contained in the VAT legislation. One of these relates to the VAT treatment of contracts that are concluded prior to the entry into force of the VAT Act which include the provision of taxable supplies to be made after the entry into force of the Act and which do not provide for the imposition of VAT.

For the sake of greater clarity in respect of this matter, the Ministry of Finance wishes to reiterate that such issues are subject to the legal provisions contained in the VAT Act itself.  As is made clear in each of the Guidance Notes, these are provided to the public as general overviews on specific areas of the legislation; as such, they have no legal bearing and interested parties are referred to the VAT law for definitive legal interpretations.

News : Bahamas Information Services Updates
Bahamas Ministry of Finance Issues VAT Guide and Guidance Notes - Sep 4, 2014 - 4:07:19 PM

The Ministry of Finance released today a series of Value Added Tax Guidance Notes.  These documents provide general guidance and advice to the public and the business community as part of the Government’s public education campaign in respect of the VAT that will be implemented in The Bahamas on January 1, 2015.

The Guidance Notes serve to complement the General VAT Guide that was released on July 30th and provide more detailed information that is specific to particular industry sectors or in respect of specific situations and circumstances. These will be expanded and revised as necessary, based on feedback...

News : Bahamas Information Services Updates
VAT Department Issues Guidance Notes - Sep 1, 2014 - 5:26:55 PM

NASSAU, Bahamas -- The VAT Department recently issued VAT Guidance Notes to further familiarize the public on Value Added Tax, and in this instance on the tax as applied to these services: finance and insurance, transportation of passengers and goods, retail and wholesale trade, construction, land and property information, medical and healthcare, education, charities, clubs and associations; there is also VAT and the Hawksbill Creek Agreement, and the tax with respect to motor vehicles.

The department stated that additional Guidance Notes will be issued to apply to the areas of hotel and holiday accommodations, duty free shopping, cash accounting and flat rate schemes, and transitional arrangements...

News : Local
Impact of VAT on Charities Clarified by Bahamas Ministry of Finance - Aug 22, 2014 - 7:01:32 AM

Representatives of the VAT team of the Ministry of Finance emphasized that services provided by local charities and non-governmental organizations (NGOs) that directly relate to charitable activities will be VAT exempt and the VAT programme provides for recouping of some taxes paid on goods for the use of such community services.

Reacting to an article appearing in The Nassau Guardian under the headline “Charity will 'suffer tremendously' under VAT,” Financial Secretary John Rolle clarified a number of  “It has to be emphasized that charities, such as the Humane Society, should be largely shielded in how they are impacted by VAT. The services that they deliver will be VAT-exempt under the provisions of the legislation and eligible charities will be able to claim a refund of VAT paid on the acquisition of certain goods and services,” he said.

Bahamian Politics
Shane Gibson Contribution on VAT Bill 2014 - Aug 20, 2014 - 7:42:24 PM

Nassau, Bahamas - Remarks by Hon. D. Shane Gibson, M.P.,Minister of Labour and National Insurance and Minister of the Public Service during The Value Added Tax Bill, 2014 delivered on 13th August 2014:

Mr. Speaker, I wish to thank God once again for another opportunity to stand in this Honourable House as I represent the great people of Golden Gates. Mr. Speaker, I firmly believe that the Government is on the right track in moving ahead with the Value Added Tax (VAT) legislation as most progressive countries around the world including the European Union with its 27 member countries in the United Kingdom and Europe as well as Caribbean nations such as Trinidad and Tobago, Jamaica, Barbados, St. Lucia and Grenada have already adopted this form of revenue...

News : Bahamas Information Services Updates
Bahamas Finance State House Communication (2nd Reading) on VAT Bill - Aug 19, 2014 - 10:52:32 PM

Nassau, Bahamas - Remarks by The Honourable Michael Halkitis, Minister of State for Finance (Second Reading) of the Value Added Tax Bill on August 19, 2014:

I will, specifically, touch on the following issues:

1.Setting the new VAT and tax reform more generally within the context of the Government’s overarching national development plan;

2.Outlining our concerted efforts to reform and modernize the administration of the major, existing taxes in order to enhance revenue collection performance;

3.Reviewing, once again, the many initiatives that we have launched to better contain and control public expenditure;

4.Expanding on the key elements of the VAT policy and administrative framework that are featured in the VAT Bill...

News : Bahamas Information Services Updates
Bahamas government holds VAT legislation presentation for the press - Jul 28, 2014 - 12:58:17 PM

Nassau, The Bahamas - Educating the consumer about the benefits of the new Value Added Tax legislation should ease the public's fear of the Government's needs to control its spending.

Financial Secretary, John Rolle, led the discussion on the new legislation at a July 25, Ministry of Finance "Meet the Press" presentation at the Gladstone Road Freight Terminal.

Mr. Rolle explained that VAT is a broad based consumption tax, applying a 7.5 percent rate in the price of most purchased goods and services...

News : Bahamas Information Services Updates
Michael Halkitis House Communication on the Tabling of the Vat Bill‏ - Jul 24, 2014 - 12:49:20 PM

Nassau, Bahamas - Enclosed is a Communication by State Minister for Finance the Hon. Michael Halkitis:

Mr. Speaker,

The tabling of the Value Added Tax Bill in this Honourable House is an historic moment in the history of our nation.

Following many years of study and discussion, at times heated and contentious, we are finally taking up the challenge, and shouldering the responsibility, of bringing our system of taxation up to the proper and appropriate standards of the 21st century...

News : Local
VAT Announces Next Round of Community Presentations - Feb 28, 2014 - 2:57:55 PM

The Government of the Bahamas is continuing its public education efforts on the impending Value Added Tax (VAT) implementation with a full month of community presentations.

Eight meetings are scheduled for late February and the month of March beginning on Friday, February 28, in conjunction with the Exuma Chamber of Commerce and ending on March 13 at the Church of God of Prophecy, East Street, Nassau.

Presentations will also be made at the following locations...

Community
VAT Team Speaks with Church of God Youth Leaders - Feb 6, 2014 - 1:20:23 PM

Value Added Tax (VAT), combined with reduced Customs duties, will pave the way for government to rebuild its financial house while staving off the potential threat of devaluation that could increase the cost of living for every consumer, said Livingston Ferguson, Senior Customs/Revenue Officer, Ministry of Finance.

Ferguson was addressing more than 50 persons gathered at Faith Mission Church of God, Fox Hill, January 26. Among the congregation were members of other Church of God affiliates in the denomination’s eastern district.

“Value Added Tax allows the government to broaden its tax base that directly assists with returning public finances to a sustainable state,” said Ferguson.

Community
BAATO hosts Bahamas Ministry of Finance VAT Consultant - Jan 28, 2014 - 12:55:14 AM

New Providence - The Bahamas Association of Air Transport Operators (BAATO) recently hosted Mr. Ishmael Lightbourne, a consultant with the Ministry of Finance for a presentation on the proposed Value Added Tax (VAT). The Bahamas Association of Air Transport Operators requested the education and message clarification session held 20th January, 2014.

The stakeholders of the Bahamian Aviation Industry represented at the presentation expressed commitment to a consultative atmosphere to encourage the best alternatives for the development of a national tax reform system for the Bahamas.Further discussion between the Ministry of Finance ...

News : Local
Bahamas Financial Secretary Addresses Kiwanians on VAT - Jan 17, 2014 - 1:45:26 AM

Nassau, Bahamas- In a continuing effort to communicate the benefits of Value Added Tax (VAT) in The Bahamas, Financial Secretary John Rolle addressed the Kiwanis Club of Nassau A.M. at its weekly meeting January 13.

 “A modernized taxation system is essential in the developing Bahamas,” Mr. Rolle told about 20 Kiwanians gathered at the Bahamas Red Cross Society headquarters. “VAT is a fairer system of taxation by taxing a greater share of the spending of persons with higher incomes. Heavy reliance on taxes on imports of goods puts an uneven burden on poor people who spend a larger share of their income on such items. The reforms will, in fact, allow the government to broaden its revenue sources to include more services going forward.”

Community
(Video) Michael Halkitis. on Value Added Tax: Presentation:. Dec 9th, 2013.‏ - Dec 18, 2013 - 10:09:26 AM


Nassau, Bahamas - It is my privilege to address you all this afternoon at the Golden Gates Outreach Ministry, as a part of this luncheon session. I was very pleased to see that this Outreach Ministry rose from such humble beginnings into the organization it has become today whose mandate continues to focus on not only sharing the Gospel of Jesus Christ but also living out his example through community outreach efforts. This ministry has cemented its reputation as a positive influence to this and the surrounding areas and it is my hope that the good works of this ministry will continue for generations to come...