NASSAU, BAHAMAS — After Health and Wellness Minister Michael Darville recently revealed that government is preparing legislation that will impose a tax for sugar and excess salt, the Opposition said yesterday that it rejects any discussion on any additional tax measures being contemplated by the Davis administration.
“First, who are we to believe, didn’t the Prime Minister say no new taxes?” Asked the Opposition Shadow Finance Minister and East Grand Bahama MP in a statement.
The remark appeared to be a reference to a statement made by Prime Minister Philip Davis last year that there would be no increases in taxes “in the short-term”.
Thompson continued: “As we have said repeatedly, before this government can even begin to discuss new revenue measures, it must put forward a proper fiscal and economic plan to the Bahamian people that explain the context of any revenue proposal and shows reduced wasteful and unnecessary spending. It is inconceivable that this Government is even talking about new taxes and has failed to provide the legally mandated Fiscal Strategy Report due in November 2022.”
Thompson did, however, state that the FNM deeply believes in improving public health and has worked tirelessly to address the crisis of non-communicative diseases in the Bahamas.
“Studies show that while the increase in the cost of unhealthy food does decrease its consumption, price decreases have a larger effect on diet. Where are the Government’s plans to decrease the cost of healthy foods and provide help to those less fortunate to obtain healthy foods? The FNM calls on the Government to first implement subsidies for healthy foods such as fruits and vegetables before it increases the tax burden on working Bahamians. The Government is once again putting the cart before the horse. Any sugar tax discussion must be secondary to a holistic plan to address the real issues,” said Thompson.
Thompson insisted that the Opposition will not support new revenue measures to “fund the extravagance and indulgent spending of the PLP”, again calling on the Davis administration to remove VAT from breadbasket goods, medicine and baby care items.
“..at the same time, it has reduced taxes for their wealthy friends and cronies by decreasing taxes on million-dollar homes and yachts,” Thompson continued.
“They have cut more than $30 million from the Social Services budget even while admitting that Bahamian families still need more social welfare assistance.”
