Quickbooks will remit VAT to the Bahamian government

NASSAU, BAHAMAS— Intuit Limited, the company that developed and markets popular accounting software package Quickbooks, is the latest international company to announce that it will begin paying Value Added Tax (VAT) to the Bahamian government.

In a recent notice to Quickbooks subscribers, the company stated that based on VAT legislation in the Bahamas, it is required to charge VAT on all services to all Bahamian customers.

“As a result, from your next billing date on or after April 10, 2023, we will be required to charge 10% VAT on all QuickBooks Online subscriptions. VAT charges are collected by Intuit on behalf of the Bahamas Department of Revenue (DIR) and as such should not be considered a price increase. Intuit is unable to provide tax advice. For assistance with tax matters, we encourage you to consult a tax advisor,” the company said.

In 2020, Facebook revealed plans to collect Value Added Tax (VAT), starting Nov. 1, on ads served on its social media platform where business and home addresses are set in the Bahamas.

The Ministry of Finance has also imposed VAT on visitors who book rooms online through home-sharing giant Airbnb.

Mark Turnquest, chairman of the 242 Small Business Association and Resource Center (SBARC), said: ‘The government is just extending its contribution to VAT to a point where it is trying to raise its revenue through taxes . I have no problem with them collecting VAT on subscriptions and such once they use the money to improve business development in the country.

“You will find that the government needs money or all kinds of things at this time. Once they used the VAT money for business development, I have no problem with that. »

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