NASSAU, BAHAMAS- The Opposition yesterday called on the Government to immediately protect Bahamian commercial property owners amid what it says is an alarming surge in Department of Inland Revenue (DIR) “Power of Sale” seizures targeting Bahamian-owned commercial properties, warning that taxpayers’ life’s work is being taken without fair, reasonable, or transparent processes.
In a statement, the Free National Movement (FNM) said the DIR has in recent months intensified its use of the “Power of Sale” under the Real Property Tax Act as part of its revenue-collection efforts. The procedure allows the department to seize commercial property in arrears, confiscate it, and sell it—purportedly to the highest bidder—to settle outstanding Real Property Tax.
The Opposition said it is raising the issue now because the properties being taken belong to Bahamians who spent decades building businesses on them and who employ many other Bahamians. While acknowledging that the DIR does have legislative authority, the party questioned whether the laws and procedures are being applied in a manner that is reasonable, proportionate, fair, and transparent.
The FNM argued that it “cannot be” that a Bahamian’s “life’s work can just be seized” without affording the taxpayer every reasonable opportunity to settle alleged arrears with the DIR—particularly when, over successive decades, the department itself has failed to properly administer the collection of Real Property Tax. Several affected cases are now before the Supreme Court and Court of Appeal and have already been reported publicly.
The party called on the DIR to disclose the exact number of Bahamian commercial properties seized and sold using the “Power of Sale,” as well as how many residential non-owner-occupied properties have been taken. It also pressed for details on who purchased these properties, for what price, what procedures exist to protect the equity of property owners, and what steps are being taken to ensure owners do not “walk away with nothing” after years of investment.
The FNM said that having such significant authority means the Government and its agencies must exercise that power reasonably, fairly, and transparently, always in the best interests of Bahamian taxpayers.
The party added that the Government has a constitutional responsibility to ensure citizens are not unreasonably deprived of their property. It noted that the State previously enacted the Homeowners Protection Act to guard residential borrowers against harsh bank foreclosures, arguing that similar protections are now necessary for Bahamian commercial property owners facing the DIR.
“This Government must implement and publish clear rules and procedures to protect Bahamian commercial property owners from the abuse of this draconian power of last resort,” the statement said. “The Government must protect Bahamian property owners while it carries out its revenue-collection duties.”
