![\"vat\"](\"https:\/\/www.bahamasb2b.com\/news\/wp-content\/uploads\/2013\/09\/vat.jpg\")
A culture of low tax compliance makes it \u201cirresponsible\u201d to consider implementing a value-added tax (VAT) system which will only fail to be adhered to, and \u201cmake a mockery\u201d of the rule of law, a businessman has argued.<\/p>\nA culture of low tax compliance makes it \u201cirresponsible\u201d to consider implementing a value-added tax (VAT) system which will only fail to be adhered to, and \u201cmake a mockery\u201d of the rule of law, a businessman has argued.<\/p>\n
In its most recent report on the Bahamian economy and government\u2019s fiscal policy measures, the International Monetary Fund (IMF) suggests that a culture of poor tax compliance in this country has drawn into question the government\u2019s ability to generate the amount of revenue it has forecast from VAT.<\/p>\n
Rob Myers, co-chair of the Coalition for Responsible Taxation, noting comments made by the IMF, said that this seems to be an area where \u201cthe government is not listening\u201d.<\/p>\n
Agreeing with the IMF\u2019s assessment of the impact on VAT, he suggested that non-compliance with VAT\u2008will come about not only due to evasion, but simply due to a lack of resources, particularly on the part of smaller businesses, to keep up with its requirements.<\/p>\n