Mis-information here, it is not exemptions under the H.C.A. that are due to expire, those exemptions already did!
These renewed exemptions that are about to expire were under the Freeport By-Laws act, enacted post 1993.
The exemptions were re-instated as part of a deal in which the Port Authority agreed to fund certain capital improvements within the Freeport area.
An important distinction.

You pay 7.5% of the $1 fee the bank charges for local ATM use!
7.5% on all bank services in fact.
I question the 7.5% on the fuel surcharge, is that not already taxed not once but twice?
Being that it is a "pass thru" cost, no value is added......
Vat is paid on import, along with the other compounded taxes.

I wish we could get "guarantees" on our politicians integrities!
It would not surprise me if the PLP did yet another last minute switch up in favor of the Chinese, but one hopes they won't.
The last thing we need is to have to import everything from China cause the U.S. "embargoed" us for sleeping with the enemy.

The ineptitude of these clowns is beyond ludicrous,
Victims of their own control mentality, their petty short mindedness.
Write policy allowing Solar and alternate energy without limits, grid tied and stand alone,
and BEC as a festering sore and drain on the people of this country will melt away.
Open it up and watch the private sector do that which no government could even dream about, never mind accomplish.
The strangulation of the people of the Commonwealth of the Bahamas is by your hands.

I agree Economist, costs have gone up significantly, especially shipping, port fees and Licensing fees,even power.
Also in the food chain particularly you may well have incremental increases at every stage, import, wholesale, retail in addition to VAT.
Here we are 5 days from the beginning of the reporting remittance phase and the E-method of filing is not ready, and the forms are clear as mud anyway.
I am also led to believe quite a few Government minister owned businesses have not implemented VAT yet!
All those warning letters and fines must be going out as internal Government memo's!
Not exactly confidence inspiring, but then, government never is.

tedb4bz VAT is only 7.5% total at point of retail, except in cases of margins being increased.
In other words, the aggregate is 7.5%, collected at each stage of a value being added.
I fear too many people do not understand VAT, including business people, which is causing the multiplier you speak of.
Yes there will be inflation, but SOme duty rates have dropped, with all duty rates to drop by 2025.
WTO compliance!
EU-EPA trade agreement Compliance!

Inflation is wht you get when Government spends more money that they receive through taxation, and so taxes the economy and individuals more to increase revenue, which in turn drives up the costs of goods and services.
It is a vicious cycle that Politicians the world over cannot get into their thick skulls.
Keynesian economics will mash up any decent economy.
One could equate the Bahamian Government approach to taxation as "rake and scrape"
unfortunately the music this go around isn't so nice.

Yes, VAT is levied at import on FOB cost and Duty.
Duty for the purposes of Government in this case is conveniently re-named "A Value added" as Merchants/importers for resale have always considered duty as a cost of goods.
In the case of the merchant, rightly so, as duty is paid up front and recouped when and if sold.
In the case of Government, not so straight forward, as Duty to the treasury is a tax to be collected, and it is a % of the cost.
Sadly, none in the private sector either individually nor collectively have the balls to seek judicial review for the definition and dual taxation.
Mind, with the state of the courts, would a ruling ever emerge contrary to the government position?
After all, the Government pays their salaries.

Blanket statements are dangerous and misleading, and have the potential to cause serious animosity between merchant, Consumer and Government which will do nothing but destroy economic confidence.
While I am sure Some merchants have raised margins, it can have three reasons:
Ignorance, on how VAT works, Gouging or raising margins for no reason but increased profits,
and raising margins due to border line profit pre VAT.
Each must be dealt with on a case by case basis, and market forces, being consumer purchasing power, will help with that.
Unfortunately our food chain is controlled by a relative few entities, which is where I have seem the biggest increases both PRE and post VAT.
I have also seen the reduction of prices due to the duty rate drop exceeding the VAT adder of 7.5% but not in food stores.
I also believe the Government is in for a nasty surprise once they get the data on the margins required to stay in business in this country and the costs of overheads, theft, utilities etc.
Remember, the Government wants and needs more money, endlessly, to pay for all of their promised "Free stuff" Lacking foreign investors to pillage means Bahamians are the target.
Just as consumers can vote daily with their dollars, so can the business entities.

More pressure from the bus driver!
Interesting that the IDB sees an Inflationary impact from the BEC "situation", whatever the hell that will end up being.
Note our politicians are promising rate reductions with privatization not increased costs.
Being the Government is the cause, both direct and indirect of inflation,
Perhaps they'll downsize, sell or outsource themselves? :)