The Government is committed to reforming the current tax structure to better resemble the broad based tax model originally introduced in 2015, to ensure that everyone is paying their fair share and provide relief to its citizenry. This simpler model, with greater administrative ease, will be more effective and efficient.
To offer relief and keep money in the pockets of Bahamians, the Government has vowed to decrease the nominal rate of Value Added Tax from 12% to 10% with effect January 2022.
To improve equity in tax policy, zero rating of a variety of taxable goods and services is being removed. Such items include transshipment services as well as breadbasket items and medicines as data shows zero rating of such items generally benefits the wealthy in society more than the less privileged.
The budget website is inspired by a worldwide movement towards citizens budgets. Presented by the Ministry of Finance, it is a visual, interactive and less-technical version of the annual budget that promotes accessibility, inclusion, transparency and accountability.