By LEANDRA ROLLE
Tribune Staff Reporter
lrolle@tribunemedia.net
ATTORNEY General Ryan Pinder said cruise lines pushed the Davis administration to phase in new passenger tax increases over three years, something Cabinet refused to do.
He was responding to FNM Senator Michela Barnett-Ellis, who accused the government of failing to consult with cruise lines before introducing the increased taxes.
“If they exercised good governance, if they consulted with the cruise lines prior to drafting legislation, they would’ve heard their concerns earlier and adjusted accordingly,” she said as senators debated the budget in the upper chamber yesterday.
In response, Mr Pinder said cruise lines were consulted before the Passenger Tax (Amendment) Bill was tabled.
“I could speak firsthand with this because I was sitting with the Prime Minister and had a conference call with the president of the cruise association prior to the budget legislation being tabled in the House of Assembly, advising them that we were making adjustment to the departure tax,” he said.
“They advised they wanted –– listen to this now –– a three-year phase-in on the departure tax, but we did consult. We told them that that was unacceptable and we’d give them a six-month transition.”
Mr Pinder did not give any further details.
The Davis administration’s original bill amending passenger taxes said the amendment would take effect on July 1, 2023.
However, Deputy Prime Minister Chester Cooper said the date on the bill was incorrect.
Mr Pinder accepted responsibility for the error yesterday.
“It should’ve had January and not July, and frankly, I take responsibility as the operative minister for drafting legislation,” he said. “The deputy prime minister made this point that it was the wrong date, and again, I take the responsibility for that.”
The Tribune had previously reported that cruise lines lobbied to delay passenger tax increases when they met Mr Cooper in Florida.
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.
Comments
IslandWarrior 1 year, 5 months ago
Dear Bahamas Government,
I would like to inquire about the recent introduction of new passenger tax increases and the consultation process with cruise lines. Specifically, my question is: "When new taxes are pushed down the throats of suffering Bahamians, why are Bahamians not afforded the same empathy and consideration?"
According to Attorney General Ryan Pinder, the cruise lines pushed for a three-year phase-in of the tax increases, but the Cabinet refused this request. FNM Senator Michela Barnett-Ellis accused the government of not consulting with the cruise lines before implementing the increased taxes. In response, Mr Pinder stated that cruise lines were indeed consulted prior to tabling the Passenger Tax (Amendment) Bill. He mentioned having a conference call with the president of the cruise association and informing them about the adjustment to the departure tax. He also mentioned that the cruise lines wanted a three-year phase-in, but the government deemed it unacceptable and instead offered a six-month transition period. However, no further details were provided regarding the consultation process.
There was an error in the original bill, as Deputy Prime Minister Chester Cooper pointed out that the date mentioned on the bill was incorrect. Mr Pinder took responsibility for this mistake and acknowledged that it should have stated January instead of July.
Previously, it was reported that cruise lines lobbied to delay passenger tax increases when they met with Mr Cooper in Florida. The government's objective is to significantly increase revenues earned from departing cruise passengers, with a projected revenue of $145 million in the 2023-2024 budget, compared to $50 million in the current fiscal year.
Given these circumstances, I would like to understand why the concerns and hardships the Bahamian people face are not given the same level of empathy and consideration as those expressed by the cruise lines during the consultation process. Could you please provide clarification on this matter?
The government of the Bahamas imposes an $18 tax per person for individuals who visit the country via cruise ships. However, the exorbitant price of a Full Day Pass for an exclusive private island experience, which amounts to a staggering $1600 per person, has raised concerns due to the absence of any value-added tax or other benefits for the Bahamian economy.
This questions the agreements between the Bahamas and these companies and whether they provide value to the Bahamian people for using their natural resources.
Thank you for your attention to this inquiry.
Sincerely,
ExposedU2C 1 year, 5 months ago
Simply an excellent letter. One that speaks to the extent to which the key political decision makers in our country have been secretly bribed for decades by the corrupt owners/operators of the foreign cruise ship enterprises whereby they profit handsomely from the use and exploitation of our pristine environment and strategic geographic location without paying our nation and its people anywhere near adequate compensation for the many risks involved.
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