2020/21 Budget Communication 2020-21 Budget Communication - Final (1)-compresse | Page 18

thereby providing millions of dollars in savings in aggregate for parents across the
country as they prepare students to return to school. I would note that the tax exemption
will only apply to items that are bought inside the country and not those that are imported
directly into the country. Just as we want to support Bahamian parents in this costly
annual undertaking, we also want to support local businesses. So we want to encourage
you to shop at home.
Again, a full schedule will be published detailing the items scheduled for duty and tax reductions.
d. Revenue Enhancement Measures
Mr. Speaker,
To achieve our medium term fiscal goals, we will also be implementing a number of revenue
enhancement measures in the 2020/21 Budget. These are mainly prescribed for non-essential
goods, as not to further exacerbate the financial burden of those impacted by Hurricane Dorian,
and COVID-19.
Mr. Speaker,
Over time, it is common for Governments to review the fee structure within their branches to
ensure that fees reflect modern day efficiencies and inflation adjustments. A recent thorough
review of our existing fee structure has resulted in a small increase in a few fees, including some
storage fees in Customs, and a new, optional category of custom-ordered license plates.
We are introducing vanity license plates at the Road Traffic Department at a fee of $200 for a set.
These are completely optional and will allow persons who wish to have customized plates, the
option to choose their own combinations of letters and numbers for a fee.
e. Expenditure Measures
Mr. Speaker,
To help offset the revenue loss associated with the economic fallout and our tax relief measures, I
mentioned earlier that we have, where possible and prudent, effected a reduction in discretionary
spending across most Government agencies. In this vein, ministries were asked to prioritize
spending related to the COVID-19 response and Hurricane Dorian recovery, and to defer nonessential
projects which do not directly impact employment for future consideration.
All agencies were also asked to prioritize programs that would retain jobs and boost new job
creation to the greatest extent possible. Hence, our push to expedite a number of capital projects
that can be easily rolled out to support this objective. This push to support national employment
will help to support economic activity over the near-term, which is critical as the economy emerges
slowly from the shutdown.
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