By RASHAD ROLLE
Tribune News Editor
rrolle@tribunemedia.net
CRUISE lines are pushing the Davis administration to postpone the implementation of new passenger tax increases, arguing they were not notified early enough to prepare for the rise.
The Passenger Tax (Amendment) Bill would require cruise passengers leaving by way of Nassau and Freeport to pay $23, up from $18. Those exiting by sea from a private island without visiting any other port in the country would pay $25.
The legislation says the amendments would take effect on July 1, 2023, the start of the new fiscal year. Another new fee –– a tourism enhancement levy of $2 for passengers arriving or leaving the country –– would take effect on January 1, 2024.
The Tribune understands cruise line representatives lobbied Deputy Prime Minister and Minister of Tourism Chester Cooper to postpone the new tax increases when he met them in Florida on Friday.
A source familiar with the matter but not authorised to speak publicly said cruise lines believe they were not given adequate time to prepare for the hike. They note that many passengers book their trips a year or two in advance, making it “unreasonable” for the tax increase to take effect so soon.
Asked about this yesterday, Mr Cooper said: “There has been no change to the Bill that was laid.” He declined to comment further.
Travel Weekly, a news source on the travel industry, reported on Thursday that Carnival Cruise Line President Christine Duffy wants the tax delayed.
She reportedly said: “There’s a lot of development happening in The Bahamas, and we’re working with the officials in The Bahamas to see if at least, can it get pushed out?”
She also said the tax increase would affect some passengers.
“Look, if I’m on a budget, this is my budget,” she reportedly said. “This is what I can spend. But I mean, look at resort taxes and resort fees. I don’t want to say people have gotten used to it, but it has been piling on.”
A delay in implementing the tax increases could affect the government’s revenue projections.
According to the budget, the government aims to nearly triple revenues earned from departing cruise passengers, projecting $145m in revenue in the 2023-2024 budget, up from $50m in the current fiscal year.
More like this story
- Passenger tax tabled in House ‘had date error’
- Cooper: Passenger Tax to be delayed to January 1, 2024
- Gov't near-tripling cruise departure tax to $145m
- Fred to investors: 'Pay your fair share or look elsewhere'
- AG says cruise lines wanted three-year tax phase-in – but he admits fault for error on date in original bill
Comments
realfreethinker 1 year, 4 months ago
Bwave. The goose that killed the golden egg
newcitizen 1 year, 4 months ago
Golden Egg? $50m a year in revenue is our golden egg?
And $5-$7 more per person is going to make or break the cruise lines profit (and the cost will simply be passed onto the customer anyway), or cause a passenger not to book? I find hard to believe.
Flyingfish 1 year, 4 months ago
The Cruise Industry has always under preformed revenue and function-wise. They are ultra dependent on us and are the largest source of pollution yet earn this country less than stopover tourism.
Baha10 1 year, 4 months ago
No need to “reconsider” anything here, as this is one “not so Golden” Goose that can not realistically afford to go anywhere else due to proximity and cost of fuel.
John 1 year, 4 months ago
If you can afford a cruise, why can’t you afford reasonable taxes, which amounts to two bottles of water or one alcoholic beverage? Why are cruise ships and most foreigners that do business in this country always trying to shortchange the Bahamian government and the Bahamian people? And bet Cruise Lines have increased their cruise tickets by at least 20 percent over the past few years. Pay the damn taxes and stop taking The Bahamas for a dump. Where anything goes. You are a multi Billion industry. Eventually the Bahamian people vis a vis the government, will be able to choose the cruise ships that come here and deny the ones that bring no benefit.
ThisIsOurs 1 year, 4 months ago
Because there is a price the customer will not bear, it could be 50cents more. No tourist or customer is obligated to pay what we charge them for discretionary services or products. The govt has seen this phenomenon quite often with their tax aggressive policy and had to reverse course multiple times.
TalRussell 1 year, 4 months ago
Pretty certain this was not the first time the cruise industry's top management people were informed that they are targets for --- 'passenger tax increase' --- Knowing the many times the topic - 'For the need increased cruise passenger spending revenue' --- Was spoken to by, --- The RedParty's Montagu House-elected MP and Tourism Minister, The Rt. Honourable Dionisio "James" D'Aguilar. – 'Not known misleading industry people. - Aye.' 'Nay?'
IslandWarrior 1 year, 4 months ago
Perhaps a better solution would be for the government of the Bahamas to intervene and regulate the exorbitant fees being charged by certain cruise ship companies for access to their services on their exclusive private islands in The Bahamas. Such fees are not only unreasonable but can also tarnish the reputation of the Bahamas as a desirable tourist destination.
It's worth noting that the prices for services on private islands, such as Perfect Day at CocoCay, are separate from the proposed taxes. These prices vary depending on the specific experience, with examples including.
The cruise package prices would differ and are not directly related to the proposed taxes or the private island excursion costs.
Well_mudda_take_sic 1 year, 4 months ago
Our corrupt politicians are quick to tax Bahamians to death while giving all kinds of tax concessions to the floating behemoth hotels that are destroying our environment without contributing much to our economy. Perhaps many of us should start telling the government we will get around to paying our taxes when we feel like doing so.
John 1 year, 4 months ago
Government ( Chester Cooper says tge hotels are full, the cruise ports are full. So why are they complaining about a small tax increase. Now watch this Chester Cooper say since there are no more hotel rooms, Bahamians are encouraged to open their homes for or to tourists. Not a good idea. This environment are not conducive to inviting strangers into your homes. Unless you have a separate house or a section with a separate entrance. Now watch this again: wasn’t ( or isn’t) this the same government that just passed a law that will fine you up to $1.000 for renting your car out? So how much will they fine you for renting your house without a hotel license?
TalRussell 1 year, 4 months ago
What about starting dialogue about how --- 'the colony's central authority' (TCCA) is ---- Allowing foreigners to buy and lease ---- Residential premises ---- Only to 'let out' income producing rooms/quarters to visitors. ----And, they're also ---- Renting out their personal motor vehicles and scooters to guests. – 'Aye.' 'Nay?'
John 1 year, 4 months ago
Two different laws . One for Bahamians and one for everyone else.
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