The government has for weeks argued otherwise, but a leading economist is convinced the proposed 12 per cent value added tax (VAT) will only hurt the economy.
Former Member of Parliament, Lester Turnquest says, “when the economy is in the doldrums as our economy is and has been from 2008 basically, what is required is stimulation, not for the government to do a money grab from the consumers who have no choice but to pay the 12 percent.
“The move to target the web shop owners to try to make up for any failings that the present government and previous governments had is wrong.
“You know as a Bahamian, who celebrates successful Bahamians, whatever the antecedents of the numbers business and our local gaming industry has been, the reality is that they are legal now.”
Mr. Turnquest who has been a financial advisor and a senior Executive in Bank Leu before becoming a member of Parliament in 1992 said, “ I don’t see how you can discriminate, and I think it is discrimination to decide that you’re going to tell someone I want 50 percent of your profits.”
He reasoned that equally profitable businesses like banks and food stores have not been subjected to such taxes.
“We’re talking around this issue and no one wants to say it, I [will] say it, because a black man making plenty money, plenty people including some that look like him, don’t like it.
“Until we could celebrate the successes of our fellow Bahamians, we will be forever greatly challenged moving forward as a nation,” said Mr. Turnquest.
The increased tax hikes take effect July 1st, 2018 – the start of the new fiscal year.
