FY2022 / 2023 BUDGET COMMUNICATION 13
This , combined with the Family Island Development Trust , will accelerate the reconstruction of Family Island airports .
It will also end the practice of Family Island infrastructure improvements being made a lesser priority than infrastructure improvements in New Providence .
It is important to note , however , Madam Speaker , that this does not mean that we will exclude Family Island projects from future capital budgets of the Ministry of Public Works .
Far from it .
It just means that the Family Islands will have their own dedicated fund to ensure that they keep pace with national development .
Madam Speaker : We have allocated funding to reduce the Government ’ s carbon footprint through the installation of renewable energy systems throughout the Family Islands , and increased the number of electric vehicles in the Government ’ s fleet .
Madam Speaker , I am pleased to advise that this ambitious agenda is being funded without any general increase in taxes or rates . There are , however , some new and very targeted fees .
For example , the maximum cap on property tax on owner-occupied property has increased from $ 60,000 to $ 120,000 .
We are now imposing a minimum tax fee of 75 percent of the real property tax assessment for high end properties which are exempt from property tax because they are in a rental pool , if these properties do not generate VAT revenue equivalent to the Real Property Tax assessment .
To demonstrate that we are serious about collecting property tax , we are updating the law to simplify the process by which we can take action against all classes of property owners , with the exception of Bahamian owner-occupied properties .
Madam Speaker : We are bringing into force legislation to cover vanity plates for motor vehicles , and there will be annual fees attached to those plates .
We are introducing a new class of commercial driver ’ s licence for operators of heavy equipment or haulers of hazard materials .
We are clarifying the law on foreign yacht charters to ensure that operators of foreign yacht charters register and pay VAT . Operators will therefore now be subject to the stringent policies of the VAT Act .
We are also introducing business licences for financial service providers , and reintroducing business licence fees for commercial banks . To ensure equity with insurance companies we are eliminating the premium tax , and are now requiring insurance companies to pay business licence fees .
Madam Speaker : We are increasing royalty fees for the export of seafood , and we are also formally prohibiting the export of conch in commercial quantities , in order to encourage sustainable fishing of this precious resource .
We are also implementing a service fee for those individuals who want to obtain their passport within three hours .
Madam Speaker : Our emphasis is to ensure that the tax system is fair and equitable , and that no single taxpayer has an advantage . In that regard , we have standardized the excise duty for the production of beer .
It is actions like these which demonstrate our willingness to make the decisions which benefit the many and not the few .
Madam Speaker : In this budget we have also sought to introduce revenue measures to do the following : » Lower the cost of living » Lower the cost for acquiring property and homes ; and » Encourage investment in key sectors .
To achieve these goals , in this budget we have reduced the duty on a significant number of food items to bring relief to our citizens and residents . You will here more about it during the debate .
We also recognize that an important part of our tourism experience is our unique culinary products - and we need to ensure that the sector remains competitive . We have also therefore reduced the duty on food items used mostly in the restaurant and tourism sector .
Among the list of foods are those produced locally , such as chicken parts . Local production of chicken is less than 5 percent of total consumption , but we want and need to expand local production of all agriculture products . In this regard , the Government will provide support to local poultry producers by assisting in lowering the cost of electricity , one of the primary inputs in organized poultry production .
This support is in addition to the increased support being provided by the Ministry of Agriculture and other agencies .
For instance , Madam Speaker :
» We have increased our food security allocation by $ 1.5 million to aid the provision of greenhouses and other smart technology for food production in the Family Islands , as well as to provide training and capacity-building for farmers in the use of more mod-