Pursuing A $326,000 VAT Refund From Barbados Government

“THE BARBADOS Barbados Institute of Management and Productivity (BIMAP) is pursuing a $326 000 value added tax (VAT) refund from Government…”

… from The Nation Newspaper (link here). 

Kiss That Money Goodbye!

It will be a cold day you-know-where before the Government of Barbados cuts anyone a $326k VAT refund. As countless businesses on this island know, once they have that money in their hands, they will lawyer and accountant a business to death before giving it up.

The government is so over-spent that it is clouding decision making. Justice and rule of law have given way to making sure the next government payroll can be met.

Kiss that money goodbye, gentlemen, and get on with your lives – older and wiser.

Advertisements

13 Comments

Filed under Barbados, Business & Banking, Offshore Investments, Politics & Corruption

13 responses to “Pursuing A $326,000 VAT Refund From Barbados Government

  1. Tudor

    I must comment here BFP. The company that I work for received a VAT refund of over $300,000. Mind you it took nearly 3 years and countless meetings to get to get it, but I got it.
    You must have proper records and be prepared to stick it out.

  2. Bajanboy

    To wait three years for something that is rightfully yours is ridiculous. There is no reason why VAT refunds should not be forthcoming in 60 days. It’s time the VAT department get their as* in gear, otherwise every companies in Barbados should pay their VAT one month late to protest. The operating environment here is difficult enough for businesses without being beaten up by government.

  3. vat refunds

    Tudor is correct—if you are persistent over many years and many meetings you may very well succeed.

    But why should you have to go through such an ordeal unless you are viewed as a second or third class citizen in spite of the fact you are trying to run a business and create economic activity under great difficulty?

  4. Pat

    I hope the government pays interest on those VAT refunds. After three years, it would really add up.

  5. vat refunds

    don’t hold your breath on that one PAT—they don’t— its interest free to them—so once again
    crime or is that deliberate delay —pays

  6. Environmentalist

    Tudor, did the VAT office pay you interest?

  7. Yam P][e

    I heard that government does not pay interest to a company unless its an overseas one. daz tru?

  8. Pat

    That is not good. If the Canadian government owes you money after 30 days of the due date, interest is added. If the money is for good and services to an SME, the person or persons holding up the payment get hauled over the coals.

    If they are late in refunding your income tax refund, you get interest. Even if you file late, but is due a refund, you get interest. Of course, if you owe money and file a day late, you are charged a month’s interest.

  9. Tudor

    No interest was paid. But that needs changing, some of this civil (?) servants sit on issues and if they feel that you are asking too many questions the you file goes to the bottom of the packand the procedure starts all over again.

    I believe that the same way that we have to pay late payment & interest charges to Govt, then Govt should pay us as well. In fact Govt could use it as a management tool in the various depts to increase productivity,

  10. honeybee

    You are entitled to interest on your refund if it is late but you have to apply for it and struggle to get it just like you struggled to get your VAT refund.

  11. waver

    I dont think you are entitled to any interest on a VAT refund.
    And further more, if you are a day late in sending your submission, interest and penalties accrue immediately on the tax you are due to pay.

  12. Are we talking about obtaining a VAT reclaim when a Barbados company charges a UK company VAT on an invoice for a service? I’m wondering whether the UK government has similar problems or not. I’m still trying to work out whether a company is supposed to charge overseas companies VAT. I don’t think they are any ideas?

  13. Straight talk

    The Vat Office told me that if a refund was still outstanding after three months, you must apply in writing for interest to begin to accrue from that date.

    However, as has already been said, interest and penalties on late payments begin at 21 days, a rule strictly applied.