NASSAU, BAHAMAS — The Opposition is calling on the government to expand the current Value-Added Tax (VAT) exempt status for medical care provided in public healthcare facilities to cover all necessary medical services throughout the country. 

Opposition leader Michael Pintard in a statement noted that current medical services provided by a public health care facility are VAT exempt. Additionally, until now, private patients using health insurance have not had to pay VAT on the portion of their expenses covered by health insurance. 

"Of course, in their callous disregard for ordinary Bahamians, this Davis administration is about to require that private health care insurance claims now include VAT – a move that will add millions of dollars in cost to health care bills of ordinary Bahamians," said Pintard.

He added: "This will be new revenue for the government as it has not been collecting it before. Now instead of saying that it will do the decent and compassionate thing and exempt Bahamians from VAT on health care services, the Prime Minister and his team have insisted that this burden be added on the backs of Bahamians – for something they never had to pay before. The FNM offers a much simpler and compassionate approach."

Pintard urged the government to come to Parliament and amend the VAT Act to make all necessary medical services VAT exempt. 

"Follow the lead of other countries like Barbados and Ireland and do away with VAT on required medical services altogether," he said.

"To cover the funds that the government was collecting on VAT for private medical services for non-insured procedures and on the deductibles, the FNM calls on the government to reduce the budget allocations for foreign travel and for consultancies. Further, the government should reinstate the 12 percent VAT for high end real estate and drop the illegal tax breaks for yachts.

This is what the government must do. The FNM will support these measures and will cooperate in moving the amendments to the VAT act through Parliament expeditiously," Pintard added. 

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