Inland Revenue Preparing for April 1 V.A.T Cut

2026-03-25 - 23:01

& Advertisement Advertisement Advertisement Advertisement Advertisement NASSAU , BAHAMAS – The government’s move to eliminate VAT on unprepared food items is entering its final stage, but questions still remain over how smoothly businesses can make the transition. Our Delvardo Emmanuel told us more in this report. With just days before VAT will be removed from all unprepared food items, the Department of Inland Revenue is stepping up its outreach, and hosting sessions and meetings aimed at helping businesses navigate the transition. Officials sais that while some details are still being finalized, the focus right now is making sure businesses have the information they need to adjust. Beaumont Todd, training and communications manager at the Department of Inland Revenue, said that the department has been actively engaging businesses ahead of the deadline. Beaumont Todd – Manager, Training and Communications, DIR “We’ve had a number of meetings with some of the vendors and stuff, speaking about the changes that are going on. We were just waiting for a finalization in terms of how that was going to be affected. What we are having here today with the symposium—one of the main things is that persons who do have questions and queries can come to get assistance and roll out with that. But we will most likely have one or two more meetings, basically virtually, to assist and speak on that matter as well, to update the public with those changes as we also get instruction.” Last week, Economic Minister Michael Halkitis noted that following the government’s meeting with grocery food retailers, many of them had concerns. Moving from a five percent VAT rate to zero, he said, requires adjustments to accounting systems, bookkeeping, and back-end operations. Questions remain, including whether companies will be given more time to adjust their systems. Todd said any decision on extensions ultimately isn’t up to them. Beaumont Todd – Manager, Training and Communications, DIR “Regarding that, that would be something that we wouldn’t be able to authorize until Parliament actually gives us directives with that. But we do try to work along with the consumers and our clients to the best of our ability to make sure that we are able to assist them in giving them the information that they need so that they can actually be prepared in this matter.” He added that the transition is similar to previous zero-rated initiatives, like back-to-school exemptions. Meantime, the department said they’re available for anyone still needing assistance. Beaumont Todd – Manager, Training and Communications, DIR “We’ve extensively met with a number of the different businesses, so we are trying to make sure not just to keep them in the loop, but to assist them along the way for that matter. And they can always reach out to us, whether directly or to come in so that we can assist them in that regard.”