News Share

The Tax Hub

Daily Tax Newsletter

Bahamas

Responsive image

The Bahamas Release Revised VAT Rules

On 23 July 2014, the government of the Bahamas released a revised rules for value added tax (VAT), which will be implemented in the country from 1 January 2015. VAT will apply to the supply of most goods and services in the country, including imports.  Goods exported are generally exempted or zero-rated.

The key revisions include:

VAT Rate and Registration

  • The VAT rate is set at 7.5% as in the 2014/2015 budget, instead of the 15% rate originally proposed
  • The pricing of goods and service must be VAT inclusive
  • The VAT registration threshold is uniformly set at BSD 100,000 - originally, a reduced threshold of BSD 50,000 applied for some professional services and hotels
  • Group registration for related group companies and consolidated VAT returns are allowed
  • VAT tax identification numbers (TIN) may be issued to businesses even if they do not qualify to register for VAT

VAT Exemptions

  • The list of VAT exempt goods is removed completely
  • The scope of exempt financial services is narrowed to include just lending and savings products issued by banks, insurance companies and other financial institutions
  • The exemption on education services is limited to include only tuition-funded courses of study for enrolled students in pre-school, primary and secondary school; and in programs of study leading to the award of a graduate or undergraduate degrees at the tertiary level
  • The exemption for healthcare is limited to public clinics and hospitals that provide free healthcare services

VAT Return Filing

  • Business with sales exceeding BSD 5 million will file monthly
  • Business with sales from BSD 400,000 to BSD 5 million will file quarterly
  • Business with sales under BSD 400,000 will file semi-annually
  • Returns can be filed up to 28 days following the relevant period
  • A simplified filing of VAT returns on a cash accounting basis is allowed for Business with sales under BSD 400,000

Powerful Tax Tools

NEW

FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.

NEW

Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.

NEW

Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.

NEW

Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.

NEW

Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.

NEW

OECD BEPS Project

Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.

NEW

Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.

NEW

Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

NEW

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

NEW

Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.

NEW

Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.

NEW

Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.

NEW

VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.

NEW

NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.

NEW

Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.

NEW

Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

Translate Documents

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More