Summary
The Department of Inland Revenue says Value Added Tax, or VAT, was introduced in The Bahamas in January 2015 as part of a broader tax reform. It is a broad-based consumption tax that applies to almost all goods and services that are imported, bought, and sold for use in The Bahamas.
Current Rates Published On The Official VAT Overview Page
- Standard rate:
10% - Zero rate:
0%
The official VAT page also indicates that some supplies, including certain exports, may receive VAT treatment different from the standard rate. Do not rely on the headline rate alone for a specific transaction.
How To Use This Information
- If you are asking a general question such as
What is VAT?,What is the standard VAT rate?, orDoes The Bahamas have zero-rated VAT?, this article should help. - If you need to know the treatment of a specific good, service, sector, holiday programme, or exemption, do not guess from the headline rate alone.
What This Article Does Not Do
This article gives the basic published description of VAT. It does not replace:
- VAT registration guidance
- VAT filing and payment deadlines
- legal interpretation of whether a specific item is standard-rated, zero-rated, or exempt
When To Escalate To A Human
- You need a ruling on a specific product, service, industry, or transaction.
- You are relying on VAT treatment for filing, refunds, imports, tourism, medical items, or any special programme.
- You need legal or accounting advice rather than a basic public-information answer.