Thursday, Dec 12, 2019
HomeBusinessCPC anticipating increased complaints after VAT hike implemented

CPC anticipating increased complaints after VAT hike implemented

The Consumer Protection Commission is preparing for the possibility of becoming inundated with complaints beginning next week, once the 12 percent value-added tax (VAT) rate is implemented.

However, Phillip Beneby, chairman of the commission, said the extension government has allowed for certain businesses, in particular food stores, should lessen the initial shock to consumers.

“As you are aware the government has given certain areas extensions, in the food stores and other places in order to adjust their (systems) to accommodate the areas where there are zero or non-VATable items, and that has been helpful in some areas; they have until August 30 to accommodate the changes to their platforms,” Beneby said when contacted by Guardian Business yesterday, regarding the commission’s preparedness for the new tax increase.

Earlier this week government released VAT implementation guidelines for the private sector, which explained that, for some industries, VAT implementation has been delayed until August 1. And for long-term, contract-type businesses until September 30, particularly in the hotel industry.

Beneby said the commission is anticipating more activity over the next day or two as more shoppers try to take advantage of sale opportunities before the 12 percent VAT rate is implemented.

“There seems to be increased activities in some stores as customers want to make purchases before the imposition of the 12 percent; like if you have to buy a generator, or some home appliances, or that kind of stuff.,” he said.

“I note that a number of the stores are also having sales to provide a certain discount between now and the weekend to try and help consumers take advantage of any discounts on purchases that they’d like to make now.”

 

Paige McCartney

Business Reporter at The Nassau Guardian
Paige joined The Nassau Guardian in 2010 as a television news reporter and anchor. She has covered countless political and social events that have impacted the lives of Bahamians and changed the trajectory of The Bahamas.
Paige started working as a business reporter in August 2016.
Education: Palm Beach Atlantic University in 2006 with a BA in Radio and Television News
FOLLOW US ON:
IDB loan providing l
Insurance customers