The Bahamas Department of Inland Revenue has announced the introduction of new VAT withholding requirements with effect from 1 August 2022, requiring certain agents to withhold 40% of the VAT due on supplies of certain goods and services.
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What is VAT WITHHOLDING?
VAT Withholding is a new Government process to withhold 40% of the VAT due on payments for specific goods and services from vendors. This withholding is not a tax, but a way to boost the collection of a portion of VAT due fr…