By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net
A senior private sector executive yesterday praised the Government over its fast-tracking the Businesses License approval process for mandatory Value-Added Tax (VAT) registrants, adding that it was “not unreasonable” for the Government to expect a “mini-windfall” from this process.
The Ministry of Finance yesterday announced that the Department of Inland Revenue had implemented fast-track Business Licence procedures to allow affected businesses and organisations to complete the mandatory registration for VAT.
“Both first-time applicants and those seeking renewals for 2014 will be given conditional letters of approval, until they have satisfied or been waived any other requirements for the issuance of a Business License certificate. Those wanting to voluntarily register for VAT can also use these procedures,” the Ministry of Finance said.
It added: “Under the procedures, businesses are being allowed to pay their Licence fee in full or to agree on a payment plan arrangement and receive a 30-day letter of approval.
“They can use this letter to support their VAT registration application. First-time applicants of existing businesses, including professionals, will be required to pay the license fee for 2014 and not the $100 fee payable by new businesses.
“If there are other requirements that must be met, such as letters of good standing from the National Insurance Board, oversight by professional bodies or inspections that must be carried out by other Government agencies, the applicants will have 30 days to complete those processes. Once a business has met all other licensing or renewal requirements, they would be issued their Licence certificate.”
Edison Sumner, chief executive of the Bahamas Chamber of Commerce and Employers Confederation, said the move was largely in response to a recommendation by the Government-appointed VAT Education task force.
“The process that was in place was a bit onerous; it was a bit of a turn-off for people who couldn’t get to the Business License Unit in time to get these registrations started,” he explained.
“They have streamlined the process to a degree that businesses can essentially be shortlisted to get their Business License up to-date. Businesses would be issued with certain documents showing that they have made arrangements for fees to be paid, and we are hoping that this streamlining of the process will be more of an encouragement for those who need to go and acquire a Business License or get it renewed to go and do so, because I believe that it won’t take as long as it would have taken before, and they have certainly put all of the necessary resources in place to ensure that the process goes as smoothly and as efficiently as possible.
“We are glad to see that has been implemented, and that they have added a need phone line to the Business License office, which has become a hot line that people can call if they need to make arrangements for payment plans.”
Mr Sumner added: “The problem is that many people are operating businesses who should have a License and don’t have one. For many businesses they would not have to renew their licenses for quite a while.
“I think you would find that some businesses are in arrears going back as much as five years. Through this process, we think the Government will be able to recover a lot of what is outstanding in Business License fees and real property taxes because persons who are required by law to register for VAT will have to address these other issues as well.
“I think that it is not unreasonable for the Government to expect sort of a mini-windfall through the process, getting a lot of the outstanding fees paid up to date and, if not in full, at least some arrangements are made for it to be paid over the next few months.
“This is what we have been calling for; not only for there to be enforcement but a level of responsibility by the business community as well.”
Comments
The_Oracle 9 years, 4 months ago
OK, here we go, "waiving" obligations to pay taxes so they can collect more taxes! Watch out, here comes Jones and co! and all the others who have ducked out on license and business fees for years or even decades. As for "arrangements" for getting paid, even the court system for that doesn't work, Judge says pay the man, the defaulter laughs and walks away! Start all over. Incompetence personified.
asiseeit 9 years, 4 months ago
^^^ Jokes for days, The Jonser's come to get strait. Yinna know they is gonna duck and weave call dis one name, and promisin ta pay soon, soon, man!
duppyVAT 9 years, 4 months ago
Wrong word ......................... BOYCOTT!!!!!!!!!!!! Sensible Bahamians should BOYCOTT this crime against the citizens ................. for the good of posterity. Remember what the Montgomery bus boycott did for black people of the US ?????? Thats where we are in this country today.
Well_mudda_take_sic 9 years, 4 months ago
Any Bahamian who puts a dollar by way of taxes or fees in the pockets of our current corrupt bunch of politicians is undermining our ability to rid ourselves of these fat blood sucking fleas led by the fattest blood fed flea of all: Christie! To all of you struggling Bahamian employers and employees out there, just do like me: Find the most anemic fleas in our easily corruptible civil work force to get what you need to do business on the cheap like all of Christie's political friends and business cronies!! We have a corrupt government to starve (whether it be FNM, PLP or DNA at the end of the day) and the sooner we do so in a serious way the better. You have absolutely nothing to lose that you won't lose anyway if you fail to do what desperately needs to be done at this time: STARVE OUR CORRUPT POLITICIANS AS MUCH AS POSSIBLE AND FORCE THEM TO LIVE OFF OF THE MONEY BEING THROWN THEIR WAY BY THE CHINESE GOVT AND OTHERS IN ANY EVENT. Once we get a much more honest Bahamian govt put in place down the road, we can then legitimately go about taking back whatever was taken away from the Bahamian people by bribery through a fair and appropriate nationalization program.
The_Oracle 9 years, 4 months ago
Now there is a dirty word, "nationalization" Criminal prosecution would be a legitimate pursuit of assets or money stolen from the treasury.
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