NASSAU, BAHAMAS – Accountants note that as businesses gear up for license renewals, recurring issues like the March 31 deadline for submitting audit and review assurances pose significant challenges, especially for entities either unprepared for an audit or crossing the $5 million revenue threshold for the first time.
Pretino P. Albury, president of the Bahamas Institute of Chartered Accountants (BICA), told Eyewitness News: “With the second year of the new Business Licence Act 2023 and its associated guidelines now underway, there are recurring concerns that need to be addressed as businesses prepare for license renewals.”
Among the primary concerns, Albury highlighted the audit and review assurance deadlines. The March 31 deadline for submission remains a considerable challenge, especially for businesses that are either unprepared for an audit or are now exceeding the $5 million revenue threshold for the first time. “These businesses often need additional time to organize their financial records and engage auditors, as the process of becoming audit-ready is resource-intensive. An extension or staggered deadline for these cases would ease the pressure and improve compliance rates,” Albury said.
Albury also pointed out that while there have been efforts to improve the Department of Inland Revenue’s system over the past year, businesses continue to face challenges with a slow or occasionally non-operational online platform. “Additionally, the support desk, although well-intentioned, has often been criticized for being understaffed or non-responsive during critical periods. These technical and operational issues contribute to delays and frustrations for registrants trying to meet their obligations,” he added.
He also addressed the issue of fines, even for compliant registrants. “Many businesses are committed to compliance but are concerned about the potential for fines or audits. This is particularly worrisome for successful businesses with higher revenues, who may feel disproportionately targeted for assessments. Transparency in the review and penalty process, along with clear communication of expectations, would help alleviate these concerns.”
Albury concluded: “Overall, while positive steps have been taken to streamline the renewal process, these areas remain significant points of contention for businesses striving to comply with the new requirements. Continued dialogue between stakeholders and government agencies is essential to effectively address these challenges.”
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