Mr. Raymond Winder, Deloitte & Touche (Bahamas) managing partner recently called the Business License tax regime "disastrous".
He "urged the Government to repeal the Business Licence Act and replace it with a corporate income tax, which would be levied as a percentage of a company’s net income – and not gross turnover."
In many instances businesses are having to pay a large portion of their net profit as a result.
Even if a business loses money or breaks even they still have to pay Business License taxes.
I think this is more than disastrous. It's unconscionable and immoral too.
The same day Mr. Philip Galanis called for government to tax web shops on their profits. He's specifically quoted as saying; "there ought to be some consideration of proportionality. That is the tax charged, but ought to be in proportion to the profit earned by the web shops."
Mr. Winder summed it up correctly: "The Business Licence needs to be repealed to be more business friendly and encourage investment in business, not disincentivise investment in business.”
It's almost amusing, if it wasn't so serious, that The Bahamas Parliament makes laws to ensure people treat each other fairly, yet they can be the worst offenders of their own "doctrine" with the Business License Act.
Of course there are many other areas where this happens, as we've seen in recent weeks, but when we will decide we've had enough?
Mr.Winder is right on the money.I think its stealing from business,simple as that.The FNM,PLP have all been anti business(Unless you are a foreign company).The business license fees should not even be on the net as far as I am concerned.If you do say 200,000 a year you pay 100.00 if you do 500,000 you pay 200.000 etc.etc.etc.With the duty that we pay & the business license fees the government is double dipping & that is very wrong.
Why should you be punished because you are in business ? Punish the people that are crooks & continue to get away with their nonsense with pensions etc.. Don’t just lump all business together. If you want the economy to grow at all you should be encouraging business rather than punishing business.They seem to actually hate the capitalist both the FNM & the PLP. The government seems to think that all business is crooked,maybe they think everybody thinks like them.
Its the same old story, tax the successful and spend on the failures.. For the failures far outnumber the successful and to make the failures dependent on the government is to gain political power and control.. This is a form of economic tyranny that is taking root in the United States and now the Bahamas.. This is the driving force of self-destructing that has give us VAT with all of its destructive consequences and which will eventually destroy our private sector.. No wonder well educated and ambitious young Bahamians seek vocational opportunities overseas as the country of their birth has forsaken them..
Better heed the wise words of Ray Winder for he has always spoke with truth and integrity.. As for the other fellow his track record and ducking ways speak volumes for himself.. These are very precarious and dangerous times and we need patriotic Bahamians of courage and valor to take a stand and speak out against the economic tyranny of VAT..