Bahamians import everything. Without anything to export then you pay the high prices. We have no competitive advantage. Well, we do. We just don't use it.

Bahamians import everything. Without anything to export then you pay the high prices. We have no competitive advantage. Well, we do. We just don't use it.

But do we have to charge between 35% and 65% for those imports. It is not like the bahamas has properous middle class. The majority of bahamians are struggling to make ends meet and the high taxes we pay onr simple necessities is unjustified. We don't need a government aparatus that consume through salaries and emoluments 1/5 of our GNP

But do we have to charge between 35% and 65% for those imports. It is not like the bahamas has properous middle class. The majority of bahamians are struggling to make ends meet and the high taxes we pay onr simple necessities is unjustified. We don't need a government aparatus that consume through salaries and emoluments 1/5 of our GNP



as long as its virtually the only source of income for the government......yes
as for the strugling thing tell that to outsiders. i always wonder why people and other governments consider bahamians to be rich.

You now the Bahamas government is not in a unique position with regards to taxation. There are alternative means of taxation, sales and VAT come to mind. They can also broaden the tax base more by including taxes on services as well. The poor bahamians should not pay the same amount in taxes as the millioneer residents hiding behind gated communities like Lyford Cay and Old Fort Bay.

A decentralization of government can also reduce the cost of goods and services.

You now the Bahamas government is not in a unique position with regards to taxation. There are alternative means of taxation, sales and VAT come to mind. They can also broaden the tax base more by including taxes on services as well.
And there are countries that have those taxes and more. I feel that if we changed out tax structure here we would, in time, have all kinds of taxes.

The poor bahamians should not pay the same amount in taxes as the millioneer residents
Why not? If we are talking about gas. Besides, a rich person pays more. A Rolls Royce uses more gas that a Nissan!

as the millioneer residents hiding behind gated communities like Lyford Cay and Old Fort Bay.
The reason they are behind gates is to keep the "poor Bahamians" from stealing everything that is not nailed down. :)

And there are countries that have those taxes and more. I feel that if we changed out tax structure here we would, in time, have all kinds of taxes.


Why not? If we are talking about gas. Besides, a rich person pays more. A Rolls Royce uses more gas that a Nissan!


The reason they are behind gates is to keep the "poor Bahamians" from stealing everything that is not nailed down. :)

I hope you are joking CG!

as long as its virtually the only source of income for the government......yes
as for the strugling thing tell that to outsiders. i always wonder why people and other governments consider bahamians to be rich.


I don't know how they can consider Bahamians to be rich unless they've never been to the Bahamas before. I've been there 4 times and what I have seen saddens me. From what people make as far as wages, to what you have to pay for food, I think you're being robbed. I could never make it living there.

I don't know how they can consider Bahamians to be rich unless they've never been to the Bahamas before. I've been there 4 times and what I have seen saddens me. From what people make as far as wages, to what you have to pay for food, I think you're being robbed. I could never make it living there.

This is one of the reasons I took my family to the US to live.

This is one of the reasons I took my family to the US to live.


Did you ever regret it? I have a friend who lives there that I have been trying to get to move to the U.S. for several years now. He says he could never make it in the U.S. but in Nassau, he's working two jobs, getting paid once a month and supporting 2 young children. When I send the children clothes, he can't believe how little I pay for such nice things. I guess I understand that the way he lives is the only way he knows, but there are better opportunities out there.

I hope you are joking CG!

No, I am not. It is all true!

But do we have to charge between 35% and 65% for those imports. It is not like the bahamas has properous middle class. The majority of bahamians are struggling to make ends meet and the high taxes we pay onr simple necessities is unjustified. We don't need a government aparatus that consume through salaries and emoluments 1/5 of our GNP


You mean why do Bahamians have to pay a 35% to 65% mark-up on items in the Bahamas compared to what Americans pay for the same item??

Yes. You do. If you think of all the channels that these items have to pass thru before reaching the end user. I doubt that the average Bahamian store owner or business man has the buying power to negotiate prices that major or even small stores in the US have. For example, a pair of jeans that Tommy Hilfiger sells in bulk at 40 dollars a pair.

How many stores in the Bahamas can afford to buy 1000 pairs of Tommy Jeans and expect to sell them all?? Then that means that they'll have to break that pallet apart, which Tommy Hilfiger doesn't wanna do because now they have to find another small buyer willing to purchase other parts of that bulk. Plus, they have to pay storage costs on the part of the bulk that Bahamian stores don't buy. Who do you think they'll pass the price onto?? The Bahamian store owners. If the Bahamian store owners don't want to pay 55 dollars per jeans -- then they are only screwing themselves. That's only if Tommy is willing to break down that pallet. They'd more than likely say no. Which means they'll sell it to Macy's and Bahamian store owners will have to buy it from Macy's. Bahamian stores will probably only buy 20 pairs of a particular style. Do you think Macy's will give you a discount off of the shelf for 20 pairs of jeans?? No. So now the jeans cost 60 dollars from Macy's. Then they have to shipping it from Macy's to the Bahamas. Shipping aint cheap. They can Fedex. Which'll probably cost another 40 dollars raising the price to 62 dollars per pair. Then when it gets to the Bahamas the store owner has to factor in insurance because Bahamians like to steal. And he also has to factor in profit, customs, utilities, and other overhead costs. Now you pay 80 dollars. A 30 percent markup on a 60 dollar pair of jeans. And that's being very conservative.

Now if the Bahamas had a competitive advantage or if Bahamians joined forces, they could get much cheaper prices or they could order direct from Hilfiger. Even Fedex is cheaper if you have a business account and you spend over a certain amount. You can insure multiple units under one policy. There's lots of ways things can be cheaper in the bahamas.

But as it is now...Bahamian businesses are too small by themselves to impact their prices unless they don't want to make any profit.

I noticed people are saying "Taxes" would help. Taxes are already being paid. There is a tax on imports.

Besides, the bulk of the cost of goods in the Bahamas isn't what the government places on the items. Its the non-value added costs like shipping and storage or break packs. So think about it. If you taxed people, wouldn't you simply be giving more money to the Government?? How is the government going to lower the non-value added costs of importing goods?? Maybe they won't tax imports. But that's it. You would've decreased the cost of an 80 dollar pair of jeans by 5 dollars.

Whoopee!!!

Is the government going to go to Hilfiger and say "hey, can you guys lower your prices...we're taxing them now so do us a favor" -- not likely. Is the government going to go to fedex and say "hey, we're taxing bahamians now...so all that shipping you are charging them...cut it out".

The thing is Mikki, the people are asking for and wanting a form of income tax. That is the long and short of it.

People understand that the counrty has to run on taxes, but what we want is a bracketed income tax to alleviate the pressures off of importing items. And seeing with a countyr that depends heavily on imports, income tax makes more sense than that in the United States.

The second thing is the Caribbean Basin Initiative, and initiative that sees the import and export of good from the U.S. inculding apparell and other items from the U.S., HTS and other co-operating countires of the initiative FREE OF TARRIFF!!
you need to look into that!

With that, there is a tax free system in place for electronic equipment!
Which reminds me, that the last time i came in to nassau a lady was being charged for her computer items by a knowingly or un-knowingly by a customs officer.
so unless the rule has changed, you can import electronics into the Bahamas free od tarriff from the U.S..

We have to look into these types of things...

I understand that. But trading one tax for another tax doesn't solve the problem of cost. People are sadly mistaken if they think that the cost of items in the Bahamas is high solely because of trade tariffs. I mean, in my everyday business I see how the cost of buying commodities can skyrocket thru one or two channels. I can only imagine things going to the Bahamas would have to travel thru maybe 5 or 6 channels.

The Caribbean Basin Initiative sounds like a lovely idea to thwart one cost. But, what needs to be done is buying in greater volume and thru fewer channels.

My company for instance, we sell infant formula. We can buy it firectly from Mead Johnson at 58 per case if we bought a truck load or 4400 cases a month. We only sell 1500 cases per month. If we joined up with other companies we can get to 4400 cases, but Mead Johnson would charge extra to deliver to more than one location -- which means 62 per case. But that's much better than paying 72 per case from the distributor we have now because the distributor has to pay shipping from Mead Johnson, then storage, then other overhead charges, and then shipping to us. And we're all within 2 hours and in the same state.

To the Bahamas, logically speaking the costs will have to be higher because I know that there are no stores in the Bahamas that sell as much infant formula as we do so they probably don't even get 72 per case from the jump. Then I'm sure they don't buying directly from a distributor, probably have to go thru a broker which is another charge. Then shipping overseas is another charge. Taxes don't even enter the equation yet. The cost is already high from the onset.