NASSAU, BAHAMAS — The recent increase in the occasional license fee for major events from $25-$750 has been described as “extremely disheartening” by one local promoter, who noted that the fee increase would take a significant bite out of the company’s revenue.
Promoters will now have to pay larger fees for an occasional business license to hold certain events as government seeks to take in more revenue from previously undertaxed areas.
Inland Revenue officials have stated that the $750 fee will only apply to those selling tickets for the events. The increase, which took effect July 1st, seeks to even the playing field for event promoters across the board.
However, some organizations, such as churches and civic organizations, are exempt from this requirement. Inland Revenue officials have also stated that the fee will not apply to smaller events, like fairs, cookouts, intimate parties, regattas and homecomings.
Jayson Braynen, managing director of Mas Khaos, stated: “It is really disappointing because we know that as a business, we have to pay what’s due to the government, but despite all of the talk about transparency and having a good relationship with the business community, to find out that something you once paid $25 for now going all the way up to $750 is extremely disheartening.”
“…something that as a new business owner and small business owner I know is going to eat significantly into our revenue.”
Braynen added: “We heard just through the press conference that this kind of stuff is supposed to be [justified] because people like us are making ‘big money;. I can say this is not the case, and I think it was an ill-advised decision, especially with such short notice. If this were a doubling of the fee from $25 to $50 or even $100 dollars, that would be different.”
Braynen said that while events held on public property will be impacted by the increase, he remains unsure how events held by his company which has a home-based business license, will be affected.
“We know of one event for sure that we had in downtown Nassau in May of this year. Having actual knowledge of the figures we made from it, if we had to write off a $750 fee as straight to the government, we probably would have decided not to host that event… which would be unfortunate because it was something our patrons loved and the city of downtown Nassau needed,” Braynen remarked.
“If the definition of public property is wide, that could potentially affect multiple events for us every year.”
