The Bahamas reduced the VAT rate to 5% on certain essential goods from 1 September 2025, including baby and adult diapers, feminine hygiene products, prescription and non-prescription drugs, including those for chronic conditions, medical and dental supplies, and other medical and therapeutic items. Further, the VAT rate on chewing gum, sweets, and soda is increased from 5% to 10%. The VAT rate changes were provided as part of the Value Added Tax (Amendment) (No.2) Act, which was enacted on …