Contractors concerned about business license fee hike
The Bahamian Contractors Association( BCA) is again urging the government, as the Baha Mar project is about to begin, to incrementally increase business license fees on the sector, rather than levy a proposed rate hike all at once.
Baha Mar has confirmed that $400 million worth of contracts will be set aside for Bahamian contractors.
The association contends that the economic activity generated as a result of these contracts will create significant revenue for the government directly through business license fees and through other activities.
An incremental fee increase could therefore be afforded, according to the contractors. The proposed fee increase hikes business license taxes by 50 percent.
“We’re hopeful that they’ll be able to see that,” said BCA President Stephen Wrinkle during a news conference yesterday at Casuarinas of Cable Beach.
“And in light of the new$400 million, the government in general, will be realizing a substantial increase in revenue from all construction companies now, both in business licenses and in vehicle registration, because everybody is going to be looking to buy some additional equipment and things of that nature.”
Wrinkle said the BCA met with the government over the issue and it is awaiting a response.
Larry Treco, BCA treasurer, said that while a one half of one percent fee increase does not appear to be much, individual contractors are already weighed down by costs.