The Bahamas Government will introduce a value-added tax (VAT)
beginning July 1, 2014.
The 15% VAT will cover a broad range of goods and services and
will replace the Hotel Occupancy Tax. However, a 10% VAT will
apply to the business of hotels, including food and drink sold on
their premises.
The VAT will not apply to exports and the international
transport of goods and passengers. Additional exempt goods
and services will include duty-free food and agricultural products,
health and education services, transfers of leases of land and
residential buildings, financial services, and social and community
services.
The Bahamas Government will require VAT filing and payment on a
monthly basis.
