NASSAU, Bahamas, CMC – The government and the main opposition Free National Movement (FNM), had become embroiled in a war of words after the FNM leader, Michael Pintard, accused Prime Minister Phillip Davis of misleading Parliament last week when he claimed that his 2023-24 national budget of US$3.316 billion budget contained no new taxes.
In a statement, Pintard referred to several pieces of legislation, which he said had been presented following the budget presentation containing several new taxes.
“The power to impose and increase taxes, fees, and levies fall under the ambit of the constitutional money bills and must be brought to the people’s representatives for consideration.
“The FNM will not support attempts by this increasingly brazen and unaccountable PLP (Progressive Liberal Party) government to sidestep Parliament’s authority and oversight.”
In his statement, the FNM leader said, “Under the proposed amendment to the Passenger Tax Act, Bahamians and visitors will now have to pay a total of four US dollars round trip for air travel in and out the country in a new levy, which is essentially an increase on departure taxes, by whatever name it is called.
“This new ‘tax measure’ is an increased burden on Bahamians and impacts the destination’s competitiveness by making expensive air travel even more so. The government is also imposing significant increases on the taxes payable by boaters and cruise passengers entering the country. Together these new and increased taxes are expected to raise over US$100 million in government revenue.
“How then did the Prime Minister say there are no new taxes in the budget? It is disturbing and embarrassing that the country’s chief executive continually misled Parliament and the public in such a glib and gratuitous manner,” Pintard added.
But the Office of the Prime Minister dismissed the opposition concerns, accusing it of leaving the country “in an economic mess.
“To hear the opposition leader now make factually incorrect accusations against the government’s budget is the worst kind of hypocrisy,” OPM said, adding, “We are still having to clean up the mess they left behind.
“But we are not burdening Bahamian taxpayers, but now the FNM claims we’re hurting foreigners. Whenever a choice has to be made, the FNM favors the rich and the foreigners over ordinary Bahamians.”
Last week, Economic Affairs Minister Michael Halkitis told reporters that increased taxes are for services that, in some cases, have not seen an increase in 50 years.
He told reporters that departure tax increases would only affect cruise ship passengers, not those traveling by air.
“We’re splitting hairs here. If I tell you 99.9 percent of Bahamian people are concerned, I believe I’m concerned about tax rises on me, alright? So if you raised the departure tax on cruise ships, I don’t think you’ll get an argument from anybody because if you survey 100 Bahamians, 99 percent will tell you we don’t get enough from them anyhow,” he added.
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