Has Bahamas yacht-charter VAT disappeared?

The Department of Inland Revenue currently identifies the standard VAT rate as 10%. Where both charges apply to the same agreed taxable amount, the arithmetic is therefore 14%, subject to confirmation of the actual tax base and treatment. (inlandrevenue.finance.gov.bs)

Why is there conflicting information online?

June 2025 reporting described VAT being eliminated and folded into a single 14% fee from July 1. The subsequently reviewed statutory wording is more precise: it retains separate references to the 4% amount and VAT, with the relevant collection provision commencing the following January. Use the enacted instrument and transaction-specific advice, not the earlier headline. (tribune242.com)

What should the organiser request?

Ask the broker and local fiscal representative to provide:

• The taxable amount and the treatment of delivery, discounts, expenses and any non-Bahamian portion of the itinerary.
• Separate identification of the 4% amount and applicable VAT, even if collected together.
• The identity and authority of the collecting party.
• Confirmation of whether the proposal already includes those amounts.
• The supporting invoice and evidence of payment or remittance that will be supplied.

Illustrative arithmetic—not a yacht quotation or tax ruling:

These calculations assume both percentages apply to the same amount; that assumption must be confirmed for the booking. The rates used are grounded in the charter rules and current Inland Revenue guidance. (laws.bahamas.gov.bs)

Approval rule: if a quotation says “14% Bahamas tax” and then adds another 10% VAT to the same charter amount, pause and request a reconciliation. Do not resolve the discrepancy by simply deleting a line yourself.