Government Tax Credit
Tax Deferral Employment Retention Programme
1.ENTITY AND INITIATIVE/ASSISTANCE
Ministry of Finance – Department of Inland Revenue - Tax Credit & Tax Deferral Employment Retention Program
2.TARGET GROUP
Medium and large sized businesses, excluding the following: retail or wholesale grocery store, hotel and resorts, regulated financial and insurance entities, regulated telecommunications businesses and gaming businesses.
3.BENEFITS
PHASE 1
This Program aims to provide businesses with the cash flow of up to $600,000.00 for 3 months, to preserve current employment levels for non-executive employees, and include the following:
(a) Non-reimbursable tax credit for Business Licence fees and Value Added Tax (VAT) of up to $300,000 for up to 3 months
(b) Tax deferral for Business Licence fees and Value Added Tax (VAT) of up to $300,000 for up to 3 months, to be deferred to January 2021, after which it will be repayable in monthly installments over 12 months
The applicable amounts of tax credit/payment deferrals will vary by business, depending on payroll size and tax history. Eligible businesses must have a turnover of at least $3 million and no less than 25 employees.
PHASE 2
The second phase extends to all VAT registrants, as opposed to the $3 million turnover ceiling imposed in phase 1. It will also include hotels to support non-executive payroll in an effort to retain employment. Phase 2 includes:
(a) Non-reimbursable tax credit and deferral for Business Licence fees and Value Added Tax (VAT) of $300,000 to up to $5,000,000 for up to 3 months; depending on staff level. For the amount deferred, payments will be deferred to January 2021, after which it will be repayable in monthly installments over 12 months
4.REQUIREMENTS
(c) Businesses must be in good standing with all tax agencies
(d) Tax benefit can only be used on non-executive payroll
5.COMMENCEMENT AND EXPIRY DATES
Phase 1 of the program ran from March 2020 – June 2020. Phase two will run from June 2020 to August 2020.
6.HOW TO APPLY:
All eligible businesses may apply online at http://atlas.revenue.gov.bs.
Ministry of Finance – Department of Inland Revenue - Tax Credit & Tax Deferral Employment Retention Program
2.TARGET GROUP
Medium and large sized businesses, excluding the following: retail or wholesale grocery store, hotel and resorts, regulated financial and insurance entities, regulated telecommunications businesses and gaming businesses.
3.BENEFITS
PHASE 1
This Program aims to provide businesses with the cash flow of up to $600,000.00 for 3 months, to preserve current employment levels for non-executive employees, and include the following:
(a) Non-reimbursable tax credit for Business Licence fees and Value Added Tax (VAT) of up to $300,000 for up to 3 months
(b) Tax deferral for Business Licence fees and Value Added Tax (VAT) of up to $300,000 for up to 3 months, to be deferred to January 2021, after which it will be repayable in monthly installments over 12 months
The applicable amounts of tax credit/payment deferrals will vary by business, depending on payroll size and tax history. Eligible businesses must have a turnover of at least $3 million and no less than 25 employees.
PHASE 2
The second phase extends to all VAT registrants, as opposed to the $3 million turnover ceiling imposed in phase 1. It will also include hotels to support non-executive payroll in an effort to retain employment. Phase 2 includes:
(a) Non-reimbursable tax credit and deferral for Business Licence fees and Value Added Tax (VAT) of $300,000 to up to $5,000,000 for up to 3 months; depending on staff level. For the amount deferred, payments will be deferred to January 2021, after which it will be repayable in monthly installments over 12 months
4.REQUIREMENTS
- All VAT registrants with a turnover of at least $100,000; including hotels
(c) Businesses must be in good standing with all tax agencies
(d) Tax benefit can only be used on non-executive payroll
5.COMMENCEMENT AND EXPIRY DATES
Phase 1 of the program ran from March 2020 – June 2020. Phase two will run from June 2020 to August 2020.
6.HOW TO APPLY:
All eligible businesses may apply online at http://atlas.revenue.gov.bs.