Bahamas Warns Businesses On VAT Compliance
by Mike Godfrey, Lowtax.net, Washington
08 July, 2016
The Bahamas Department of Inland Revenue has issued a warning to VAT-registered persons that prices for taxable supplies must include VAT, adding that only VAT registrants may charge VAT.
The Department said: "It is illegal for non-registrants to charge VAT and offenders will be subject to prosecution."
"The Department of Inland Revenue is pleased with the compliance efforts of Bahamian businesses and the public can expect heightened enforcement efforts to ensure continued compliance with the law. All businesses that are registrants should be displaying VAT-inclusive prices on all sale items."
In a message to individuals, the Department said: "Consumers are asked to be vigilant and ensure that VAT Certificates are conspicuously displayed. The VAT Certificate has the VAT watermark as oppose to the TIN Only Certificate, which has the Coat of Arms."
The Department released guidance on correctly labeling prices on supplies and highlighted that serious non-compliance offenses may result in fines up to BSD75,000 (USD75,000).
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