FRIDAY, AUGUST 12, 2016
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Govt urged to ‘expedite’ Central Revenue Agency By NATARIO McKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net The Bahamas Chamber of Commerce and Employers Confederation - the chief private sector representative - has urged the Government to ‘expedite’ the establishment of a Central Revenue Agency (CRA) amid growing backlash from businesses over the mandatory Tax Compliance Certificate (TCC). The BCCEC has also recommended that the Government make TCCs valid for a period of six months as opposed to the 30-day period which currently stands, given the amount of time it takes to obtain the document. A TCC is necessary when doing business with the government and is issued to businesses
“Single window” facility would make tax certificate process more efficient Recommends gov’t make tax certificates valid for six months and persons who are compliant with their tax obligations to the government. The certificate is required for individuals who; wish to do business with the government or a public body, seek to collect monies for services rendered to the government or a public body; seek to register ownership or change ownership of a taxable good. The BCCEC noted that a sig-
nificant number of businesses have been expressed over the TCC. Several Bahamian businesses speaking with Tribune Business have argued that it is “unconscionable” for NIB and other government agencies to demand a TCC be produced before paying for goods and services already received. They also expressed concern that it will exacerbate the stranglehold bureaucracy and red tape are imposing on Bahamian businesses, and fear an ever-increasing compliance burden that will “cripple” cash flow. The BCCE noted that businesses have expressed concerns over the length of time it takes to obtain a TCC, stating that based on feedback from businesses, the average time to obtain a TCC is in excess of four business days. “This represents a significant period of time, par-
ticularly when it impacts cash flows through delays in settlement of transactions with The Bahamas Government. The fact that specific checks are required to be carried out by various entities and departments, including but not limited to the National Insurance Board and the Department of Customs, which are not interfaced currently, is a large contributor to length of time to obtain a TCC,” said the BCCEC. It added: “We recommend that the establishment of the Central Revenue Agency be expedited, and trust that its systems and processes would enable a “single window” facility enabling all necessary checks to be performed by one department, which can make the process for obtaining a TCC far more efficient.” See pg b4
URCA orders BTC Govt finalising “Patients interconnection Bill of Rights” for NHI changes to facilitate Health ombudsman NewCo mobile entry expected to be BY NATARIO McKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net
By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemeda.net
The Utilities Regulation & Competition Authority (URCA) yesterday issued its final determination on the amendments to the Bahamas Telecommunications Company’s (BTC) Reference Access and Interconnection Offer (RAIO), setting out terms and conditions to facilitate interconnection services to other licensed mobile operators, namely NewCo. “URCA considers it necessary and appropriate to require BTC to make certain changes to its RAIO in order to ensure that the pro-competitive conditions that are needed for competitive mobile entry are in place,” the regulator said yesterday. The regulator noted that prior to the licensing of NewCo - the second mobile operator the services provided over the interconnection links between networks in The Bahamas were limited to those services required for competition in landline telephone services to work, and the links between those networks were designed to accommodate traffic to and from landline networks. “URCA has reviewed the current status quo in light of the liberalisation and introduction of competition into the cellular mobile market in The Bahamas. “Based on the current relative size of the mobile market in The Bahamas, approximately 315,000 subscribers as opposed to the landline market, approximately 125,000 subscribers and the nature of cellular mobile services, the interconnection services provided by BTC to other operators will need to be changed to ensure that mobile-to-mobile services are covered,” the regulator stated. These services include for example charges related to mobile to mobile calls, SMS messages. “URCA has determined certain key changes that will need to be made to BTC’s RAIO to ensure that the access and/or interconnection services provided by BTC meet the needs of the electronic communications market. URCA is now requiring BTC to agree in its interconnection agreement to deliver calls from NewCo subscribers/customers to its subscribers/customers, and establish the rate which will be paid by NewCo to BTC per minute of such calls. That rate, referred to as a mobile termination rate, will be 2.48 cents per minute, which means that for
all calls made from a NewCo customer’s telephone to a BTC mobile customer’s telephone, NewCo will pay BTC 2.48 cents per minute. “URCA expects that a charging regime will also be implemented for calls from BTC to NewCo,” the regulator said. URCA is also requiring BTC to agree to and to provide a direct interconnection link to its mobile network, for NewCo. “Currently all licensees providing phone services are required to interconnect with BTC’s landline network, which is separate from BTC’s mobile network. This means that for each call from a customer of another licensed operator to a telephone on BTC’s mobile network, the other licensed operator must pay a per minute transit charge to BTC to cover the use of BTC’s fixed network to deliver that call. For example, when a CBL/SRG landline customer calls a BTC mobile customer, CBL pays a per minute transit charge to BTC. This charge would be in addition to any applicable termination charge. Direct interconnection to the BTC mobile network would avoid the need to pay this charge. Because of the higher volume of calls expected as a result of mobile liberalisation, it is considered appropriate to require See pg b3
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While the National Health Insurance Authority (NHIA) will be responsible for protecting the rights of patients under National Health Insurance (NHI) it is expected that overtime a fully independent body will be established as a health ombudsman according to the NHI policy paper, with the Government said to be in the process of finalising a “Patients Bill of Rights”. As noted in the recently released policy paper, entitled ‘Building a Healthier Bahamas’, “During the initial rollout of NHI Bahamas, the NHI Authority will be responsible for protecting the rights of patients under National Health Insurance. Over time, a fully independent body will be established as a health ombudsman”. The Patients Bill of Rights as noted in the policy paper, “will present a standard of care that must be followed by everyone involved with the provision and delivery of health care to any patient”. It will give patients a right to seek legal redress if the standards of care are See pg b4
established over time
Prime Minister Perry Christie arriving ahead of parliamentary business at the House of Assembly this week. Debate was continuing yesterday on the newly tabled NHI now BahamaCare. Photo/Peter Ramsey
“No qualifying distinction” between BahamaCare and private insurers BahamaCare to be publicly owned/privately managed Will offer health insurance only By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net There will be ‘no qualifying distinction’ between BahamaCare and private insurers under National Health Insurance (NHI) according to the recently released NHI policy document. The policy paper entitled, ‘Building a Healthier Bahamas’, notes that under NHI, the choice of insurers ‘is envisioned to be provided by competing private insurers and the introduction of a public insurer,” which is proposed to be called ‘BahamaCare’. The insurer will be publicly owned but privately managed by a privately operated regulated health administrator which was one of the recommendations by the government’s NHI consultants KPMG. BahamaCare will only offer health insurance. “It would operate as a publicly owned, privately operated regulated health administrator and not offer any other type of insurance. Like private insurers in The Bahamas, BahamaCare will be subject to the regulatory regime of the Insurance Commission of The Bahamas (ICB) and there will be no qualifying distinction between BahamaCare and private insurers under NHI Bahamas, save to the extent that BahamaCare will be restricted in its product offering,” the policy document states. It further notes that: “Approved private insurers under NHI Bahamas will offer the legally-required services. In addition, these insurers may compete for new customers in an expanded marketplace by offering supplemental insurance. Strategic purchasing, population health management and consumer responsiveness are also important drivers of competition among insurers.” The Bahamas Insurance Association’s (BIA) had suggested that the Government abandon plans to establish a public NHI insurer because there was no need for it. The BIA, and its member life and health insurers, argued that creating the public insurer, to be known as BahamaCare, would be a great expense and waste of taxpayer monies by the Government, given that its role would be duplicated by the private sector.