1) VAT is being implemented by Govt because they've been told they cannot continue running deficits, they risk default and devaluation. ( the revenue increase will not occur within 5 years, if at all)
2) the Government is going to tax the people to gain this increase, and make the private sector their tax collector)
3) increased cost of living translates into less purchasing power, which leads to reduced spending and taxes.
4) Is VAT not increasing the risk of default and devaluation?
Foreign Wealthy home owners have the option of leaving, and some already are.
Is this the desired result?
5) FDI is further discouraged.
Is this a desired result?
6) "Free" National Health care is an additional cost, as is increased subsidies for the poor and marginal.
Is this a desired purpose? What happened to reducing debt and shortfalls?
if 20% of Companies produce 80% of Tax revenue, but have their cash flow hit,
Will they continue to "risk" their capital on inventory, or shrink same?
can the 80% withstand the cash flow hit at all?
They will feel this hit as they will be under the threshold, will incur the costs with no netting.
No matter the angle or perspective this is looked at,
The unintended consequences is where the disaster lies.
Foresight is not endemic in the Bahamas,
Government is no exception and leads in that regard.

He may have packed his bags by now,
if he can see the writing on the wall.....
They tried Calling it an economic development Zone to avoid WTO conflict,
but have failed to develop much save an exodus.

Wait til European, Canadian, Caribbean Vets can come in at will, via the EU-EPA and Carib-Can trade agreements, exempt from Work permit fees, and with their home country financing structures and capital access.
The landscape is changing fast, VAT is only one hot button topic for now, along with myopic Bahamian Veterinarians.

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Actually, the kids are probably better off without the teachers,
they can log onto the internet and learn something real!
Our educational system, while struggling to teach the basics, R, R &R, is teaching them irrelevant twisted History, Bahamas Centrist Geography, no world philosophy,
no rules based consistency or behavior,
with no support from Parents.
God help them.

The lobbying that must be going on behind the scenes must be unprecedented in the history of the Bahamas!
No wonder Government M.P's with portfolios are contradicting each other willy nilly!
The pressure from Above(IMF) and below is causing mental instability resulting in panic through the ranks.
Special interests, party faithful, all wanting Exemptions, different thresholds, VAT neutrality,
Man what a great time to be a fly on the wall in Cabinet!
Probably buying tums wholesale for those meetings!

Banks will not finance until a legal framework for Grid tied Solar or off grid self generation is created and accepted by G.B. Power, and BEC for that matter.
While that should happen, be careful touting Alternate Energy as the "total cure"
Every situation is different, and user operation/monitoring/awareness is required of most systems.
Large Utility scale has potential, but the power company must install it themselves, or their monopoly must be broken. (BEC and GB Power co.)
for the home user, It can be as steep a learning curve as VAT implementation,
or it can also be very simple.
Caveat emptor.

Buy in is not happening, with 90% of all business people that I have spoken to still thinking and hoping that the Government will delay or postpone or cancel VAT.
Coupled with a complete ignorance of the reporting requirements and penalties, added to the total lack of long term educational efforts and contradictory statements from respective Government Ministers including the P.M., VAT will prove to be disastrous for both the private business sector, the economy and the Current political governing party.
So Said, so about to be done!

The argument is that Freeport, with it's tax exemptions for businesses under the Hawkbill Creek Agreement, could have all duty paid imports and duty paid sales attract this 1% processing fee, which is structured as a tax, but is being called a fee.
This would be nominal with the rest of the Bahamas.
Bonded imports however, should not attract this Tax/Fee, under the HCA exemptions from taxes present or future.
The Port Authority once again is negligent in safeguarding the HCA and is responsible to its licensees for countering/protecting from the endless PLP and FNM Government attacks on the Statute law that provides for the Port Authorities very existence.
If they keep going the way they have been for the last 30 years,
this erosion, and the end to exemptions from real property taxes and government Business license fees in 2015 will be the final and fatal blow to what has always held promise for the Entire Bahamas!

While a serious assessment and complete understanding of the Why and how of VAT needs to be put forth to the People by the Government, Including the truth,
None including Mr. McCartney has a program without major flaws.
Example, Increasing minimum Wage is not going to help any Bahamian, as the job market will shrink because of that one move.
Utility rates are bleeding the country, and fuel costs will only go up.
A regulatory regime that allows private capital to mobilize as it sees fit, will create diversity into Biofuels, Solar, wind, Ocean and thermal generation. Private sector encouragement, and private sector risk, not Government lip service can do that job, at no Government risk.
Notice how all there Best commission and environmental study requirements have bound all these potential projects up?
They should be the environmental watch dog and monitor,
not the say so say no that they have become.
Yes, the PLP is forced to implement VAT, they got caught holding the bag,
The engineer of it is holed up in Coopers Town however.
He rammed the throttles full speed ahead,
but got off the train!

Our infrastructure is decaying faster than we can borrow and build new,
because we do not look after what we have.
Haitian immigration is an ever present issue that is not going to go away,
but we are so homophobic that we have forced them to create their own sub culture and societal structure,
Where randy Bahamians have no control over their urges, and have created yet another sub culture, the Haitian-Bahamian, accepted by no one.
Herein lies much of the violence, rogue Non nationals, non Haitians.
Every country in the world has emigration and immigrants,
we have created this situation ourselves, and continue to exploit the Haitians,
just as the criminal element, Bahamian and Haitian have exploited us!
Harsh penalties and imprisonment is only part of the answer,
Police and Judicial Follow through and impartial prosecution, with a large prison to accommodate humanely is required!