The SERZ Order provides a tax waiver on the import of vehicles to replace those that were lost or damaged on the Islands of Abaco, the Abaco Cays, Grand Bahama Island, Sweetings Cay, Deep Water Cay and Water Cay as a result of Hurricane Dorian.
UPDATE- The Disaster Reconstruction Authority “Special Economic Recovery Zone (SERZ) Relief” Order, 2019, has been extended until June 2021, for select key items.
Please note: This exemption is only offered on vehicles with a purchase price of $40,000 (Free/Freight on Board (FOB) Value). Taxes are due on any value in excess of $40,000.
Requirements for tax waiver on replacement vehicles:
- Completed Tax Relief Consolidated Form.
- Proof of vehicle ownership by the applicant (insurance certificate or driver’s licence)
- Proof of residence (utility bill, Driver’s licence, NIB Smart Card, RPT Tax certificate or current RPT bill)
- Vehicle licence registration must have been current up to September 1, 2019 and must be deregistered and cancelled by Road Traffic Department (RTD). This process is managed internally once the application is submitted.
Process to apply for tax waiver:
- Submit the Tax Relief Consolidated Form and relevant documents to DIR
- DIR conducts an internal vetting process with RTD before the tax waiver is certified
- Once approved, the certified form will be emailed or can be collected.
- Clients must submit the certified form to Bahamas Customs and complete the regular process for vehicle import.
- Once the process is complete, Customs will provide a certified Vehicle Information Slip for submission to RTD.
- The Vehicle Information Slip will specify the automatic location for RTD licensing (Grand Bahama or Abaco).
- The vehicle can only remain outside of the zone until 2021. If at the time of licensing in the year 2021 the vehicle remains outside of the Disaster Zone, the individual to whom the vehicle is registered will have to provide a justifiable reason, otherwise the total Customs duty for the importation of the vehicle will become due. The same applies if the vehicle is sold outside of the Disaster Zone.
- Vehicles can be sold within the Disaster Zone to another resident within the zone without penalty.