NASSAU, Bahamas — The construction sector has had about 25 percent of new business shelved until next year because of the increase in value-added tax (VAT), president of the Bahamian Contractors Association (BCA) Leonard Sands said yesterday, the Nassau Guardian reported July 24.
Sands added that contractors have not been able to defer the 4.5 percent VAT increase at the register and at the border, because they have not received documentation from the Ministry of Finance that stipulates that they should not have to pay 12 percent VAT on items for projects that began before July 1, when the VAT increase came into effect.
“Imagine you were about to buy a home, now that home is 4.5 percent more,” said Sands. “For some people, it means ‘I can’t do that now’.”
Sands said contractors were happy when Minister of Finance Peter Turnquest addressed their monthly luncheon and explained that they would have a reprieve on the extra 4.5 percent VAT until early next year. “That was brought clearly across to all the persons who were at our luncheon,” he said. https://thenassauguardian.com/2018/07/24/contractors-have-been-unable-to-defer-4-5-vat-increase/
