CHAPTER
140
INTERNATIONAL PERSONS LANDHOLDING |
ARRANGEMENT OF
SECTIONS |
SECTION |
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No permit required for certain purchases by
non-Bahamians of property. |
Permit required for certain purchases of property
by non-Bahamians. |
Recording of registration certificate or permit
with acquisition documents in Registrar General's Department. |
Mortgagee or debenture holder does not require a
permit. |
Holding of land acquired by a non-Bahamian under
order of a court or by going into possession as a mortgagee. |
Exemption of religious organisations. |
Only registration with Board required in certain
cases. |
Requirement to register certain business leases. |
Non-Bahamian to pay same stamp duty as Bahamian. |
Issue of an annual residence card to a
non-Bahamian. |
Establishment of the Board. |
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SCHEDULE. |
CHAPTER 140 |
INTERNATIONAL
PERSONS LANDHOLDING |
An Act to
repeal the Immovable Property (Acquisition by Foreign Persons) Act, 3 of 1981,
and to facilitate the holding of land by non-Bahamians and by companies under
their control. | 41 of 1993
12 of 1995
32 of 1995 |
[Assent 31st
December, 1993]
[Commencement 1st January, 1994] |
1. This Act may be cited as the International Persons
Landholding Act, 1993. | Short title. |
2. (1) A non-Bahamian, (other than a permanent resident
or a non-Bahamian acquiring land or an interest in land under a devise or by
inheritance), who purchases or acquires an interest in a condominium, or
property vacant or otherwise to be used by him as a single family dwelling or
for the construction of such a dwelling shall apply to the Secretary to the
Board to register the purchase or acquisition and the Secretary upon receipt of
the respective fee specified in the Schedule shall register that purchase or
acquisition in the register and issue a certificate to the applicant unless the
property being acquired is undeveloped land and the non-Bahamian would by
virtue of the acquisition become the holder of five or more contiguous acres of
land in The Bahamas. | No permit required for certain purchases by
non-Bahamians of property. |
(2) A permanent
resident who acquires land or an interest in land shall apply to the Secretary
to the Board to have the acquisition registered with the Board and the
Secretary upon receipt of the respective fee specified in the Schedule shall
register that purchase or acquisition in the register and issue a certificate
to the applicant. |
(3) A non-Bahamian
who acquires land or an interest in land under a devise or by inheritance shall
apply to the Secretary to the Board to have the acquisition registered with the
Board and the Secretary upon receipt of the respective fee specified in the
Schedule shall register the acquisition in the register and issue a certificate
to the applicant. |
(4) An application
to the Board to have a purchase or acquisition registered under this section
shall be in writing signed by the non-Bahamian who made the purchase or
acquisition or his attorney and shall be in the appropriate form in the
Schedule. |
3. (1) A non-Bahamian (other than a permanent resident
or non-Bahamian acquiring land or an interest in land under a devise or by
inheritance) who intends to acquire land or an interest in land either by way
of freehold or leasehold and which acquisition is not within section 2(1) shall
obtain a permit from the Board to make the acquisition by making the requisite
application and paying the appropriate fee specified in the Schedule to the
Secretary to the Board otherwise any acquisition shall be null and void and be
without effect for all purpose of law in the absence of such a permit; but the
non-Bahamian making the acquisition shall be entitled to recover with such
legitimate deductions as may be justified in law any and all monies paid by him
as consideration for the acquisition. | Permit required for certain purchases of property by
non-Bahamians. |
(2) The Board may
with respect to an application for a permit in its absolute discretion grant or
refuse to grant a permit. |
(3) An application
to the Board for the grant of a permit shall be in writing signed by the
non-Bahamian seeking the permit or his attorney and shall be in the form in the
Schedule. |
(4)
Notwithstanding anything contained in subsection (1) the Board may in its
absolute discretion and on such terms and conditions as it may think fit
validate any purported conveyance, mortgage, transfer of mortgage or other acquisition
of an interest in land made contrary to subsection (1) by issuing a permit to
the non-Bahamian; and the exercise of the power by the Board under this
subsection shall have the effect of causing the conveyance, mortgage, transfer
of mortgage or other acquisition which by subsection (1) is to be null and void
to be valid and of full effect as if it were made subsequent to the grant of a
permit. |
4. (1) The documents whereby any acquisition by a
non-Bahamian of an interest in land is made and to which section 2 applies
together with the respective certificate issued by the Secretary to the Board
shall be recorded in the Registrar General's Department and where the
acquisition is recorded in that Department without requisite certificate that
registration shall be null and void and be without effect for all purposes of
law. | Recording of registration certificate or permit with
acquisition documents in Registrar General's Department. |
(2) The documents
whereby an acquisition of an interest in land is made and to which section 3
applies shall on being recorded in the Registrar General's Department be
accompanied by the requisite permit otherwise the recording in that Department
without the permit shall be null and void and be without effect for all
purposes of law. |
(3) The priority
of the transactions relating to the acquisition of land by non-Bahamians shall
be no different from that which relates to the acquisition of real property not
affected by this Act. |
5. Sections 2 and 3 shall not apply where the
non-Bahamian acquiring or going into possession of the property is a bank or
trust company licensed under the provisions of the Banks and Trust Companies
Regulation Act, or any other Act replacing it or an insurer registered under
the provisions of the Insurance Act, or any other Act replacing it where ·the
acquisition or going into possession is under a mortgage or debenture. | Mortgagee or debenture holder does not require a
permit. |
6. Where a non-Bahamian acquires any land or an
interest in land by or reason of that property becoming vested in him by virtue
of any order of a court or where a non-Bahamian goes into possession of
property as a mortgagee, then he shall make application to the Board to have
the acquisition or going into possession registered with the Board and the
Secretary to the Board upon receipt of the appropriate fee shall register that
acquisition or going into possession and issue a certificate of registration to
the applicant. | Holding of land acquired by a non-Bahamian under order
of a court or by going into possession as a mortgagee. |
7. Nothing in sections 2 and 3 shall be construed so as
to require a certificate of registration or the grant of a permit in respect of
the acquisition of immovable property by any religious organisation
incorporated as a non-profit company in accordance with Part VI of the Companies
Act, or incorporated by Act of Parliament either in its own name or in the name
of any of its functionaries including trustees. | Exemption of religious organisations. |
8. Nothing in section 3 shall be construed so as to
require the grant of a permit- | Only registration with Board required in certain
cases. |
(a) in respect
of the acquisition of a non-Bahamian of any immovable property by way of
judgment for foreclosure under a mortgage; or |
(b) in respect
of a foreign state upon which there has been conferred by agreement or treaty
the right to acquire immovable property in The Bahamas, |
save however
the non-Bahamian or the foreign state, as the case may be, shall make
application to the Board to have that acquisition of interest in immovable
property registered with the Board and the Secretary to the Board upon receipt
of the appropriate fee (if any) register that acquisition and issue a
certificate of registration to the applicant. |
9. (1) Nothing in this Act shall be construed so as to
require the registration with, or the grant of a permit by, the Board of the
acquisition of an interest in immovable property under a lease or letting
agreement unless the lease or letting agreement is for the purpose of trade or
business and enables the lessee or tenant to prolong the term beyond twenty-one
(21) years in which case the lessee or tenant shall register the lease or
letting agreement with the Board by making application and paying the appropriate
fee therefor to the Secretary to the Board. | Requirement to register certain business leases. |
(2) A lease or
letting agreement to which subsection (1) applies shall in the absence of
registration with the Board be null and void and be without effect for all
purposes of law. |
10. The rate of stamp duty payable by a non-Bahamian
in respect of a transaction relating to the acquisition of an interest in land
shall be the same as that which would be payable by a Bahamian. | Non-Bahamian to pay same stamp duty as Bahamian. |
11. A non-Bahamian who owns a home in The Bahamas
shall be entitled to make application to the Director of Immigration for an
annual home owner resident card and the Director shall, notwithstanding
anything to the contrary in the Immigration Act upon being satisfied of that
ownership and that such person is not a member of a prohibitive class of
persons within the meaning of the Immigration Act or is not
otherwise undesirable and is able to maintain himself and his dependants in The
Bahamas issue the card to the applicant upon payment by him of the specified
fee in the Schedule entitling him, his spouse and minor children (if any) to
enter and remain in The Bahamas for the duration of the card unless any of them
is otherwise prohibited under the provisions of that Act from entry into The
Bahamas. | Issue of an annual residence card to a non-Bahamian. |
12. (1) There is established for the purposes of this
Act, an Investments Board which shall consist of- | Establishment of the Board. |
(a) the Prime
Minister, who shall be the Chairman of the Board; and |
(b) such other
Ministers as may be appointed by the Prime Minister. |
(2) Subject to the
provisions of this Act the Board may regulate its own proceedings. |
(3) The Secretary
to the Board shall maintain a register in such form and containing such
particulars as the Board may direct for the purpose of effecting the
registrations required by section 2. |
(4)
Notwithstanding anything to the contrary in any law a permit issued under the
repealed Act shall be of the same effect as if it were issued by the Board
under this Act and in that behalf the Board may extend the duration of or vary
or delete any conditions to which that permit was issued as the Board sees fit upon
application by the holder of the permit. |
(5) The Board may
in its absolute discretion and on such terms and conditions as it may think fit
validate any purported acquisition or conveyance made contrary to the
provisions of the repealed Act before the coming into operation of this Act by
issuing such permit as was necessary as if those provisions had not been
repealed and the exercise of this power by the Board shall have the effect of
causing the acquisition or conveyance to be full effect as if it were made
subsequent to the grant of the permit. |
(6) Where a
non-Bahamian pursuant to an application has obtained a permit and in which
application the intended usage of the property acquired has been stated and
there is subsequent to the issue of the permit a change in that usage the
non-Bahamian shall make application to the Board for a variation of the permit,
otherwise the permit shall cease to be valid. |
13. The Governor-General may, on the advice of the
Board, by order amend the Schedule. | Amendment of Schedule. |
14. (1) In this Act- | Interpretation. |
"Bahamian
company" means a company incorporated and registered in The Bahamas where
all its shares or other capital is beneficially owned by one or more citizens
of The Bahamas directly or through another Bahamian company and it is not in
any manner, whether directly or indirectly controlled by any non-Bahamians; |
"the
Board" means the Investments Board that is established under section 12; |
"certificate"
means a certificate of registration issued by the Secretary to the Board under
section 3 certifying that an acquisition by a non-Bahamian to which that
section applies has been duly registered; |
"debenture"
includes every mortgage or charge by a company, whether floating or otherwise,
on any of the company's property or on its undertaking or on its uncalled
capital, and also every obligation by the company (not being a bill of exchange
or promissory note) for payment of a debt or the repayment of monies lent or to
be lent, and also debenture stock; |
"non-Bahamian"
means- |
(a) a person
who is not a citizen of The Bahamas; or |
(b) a company
incorporated in The Bahamas under the Companies Act where any of its shares or other capital is
beneficially owned by a person who is not a citizen or where it is in any
manner, whether directly or indirectly, controlled by one or more of those
persons; or |
(c) a company
formed and incorporated at any place outside The Bahamas; or |
(d) an
international organisation; |
"permanent
resident" means a person to whom a valid and subsisting permanent
residence certificate granted under section 13 of the Immigration Act relates,
and a wife or dependent child of such a person whose name is endorsed on the
certificate under section 14 of that Act; |
"permit"
means a permit granted under section 3 by the Board for the purposes of this
Act authorising the acquisition, or as the case may be, the holding of land by
a non-Bahamian; |
"register"
means the register kept by the Secretary to the Board under section 12; |
"Secretary to
the Board" means the person designated by the Prime Minister by notice in
the Gazette as performing the functions of Secretary to the Board for
the purposes of this Act; |
"share"
includes stock, and, in the case of a company not having a share capital, the
interest or equity of a member in the assets of the company. |
(2) No share shall
be deemed to be beneficially owned by a citizen of The Bahamas or a Bahamian
company if- |
(a) the citizen
of The Bahamas or the Bahamian company owning that share is in any way under
any obligation, other than by way of a bona fide mortgage or debenture,
to, or otherwise may exercise any right attaching to that share at the instance
of, or for, the benefit of any non-Bahamian; or |
(b) that share
is held by the citizen of The Bahamas or the Bahamian company jointly or
severally with a non-Bahamian. |
(3)
Notwithstanding subsection (2), a share shall be deemed to be beneficially
owned by a citizen of The Bahamas or a Bahamian company if- |
(a) it is owned
by a citizen of The Bahamas or a Bahamian company as trustee and every person
having a beneficial interest in the trust is a citizen of The Bahamas or a
Bahamian company; |
(b) it is owned
by a citizen of The Bahamas or a Bahamian company as a nominee for another who
is also a citizen of The Bahamas or a Bahamian company and no one is in any way
under an obligation, other than by way of a bona fide mortgage or
debenture, to exercise any right attaching to that share at the instance of, or
for the benefit of, any person who is a non-Bahamian. |
(4) For the
purpose of this Act, a body or owner association of persons, whether corporate
or not shall be deemed to be controlled by a non-Bahamian, if the Board is
satisfied that effective control is, either directly or indirectly, or by
reason of any arrangement, artifice or device vested in, or permitted to pass
to, persons who are not citizens of The Bahamas or Bahamian companies. |
(5) The provisions
of this Act shall not apply to any share held by a company registered under the
provisions of the Banks and Trust Companies Regulation Act, or the
Insurance Act, as a trustee of a settlement established by a citizen of The
Bahamas. |
SCHEDULE |
FORMS (Part A) |
THE INTERNATIONAL
PERSONS LANDHOLDING ACT, 1993 |
FORM 1
APPLICATION FOR CERTIFICATE OF REGISTRATION |
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To:
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The Secretary to the Board
Investments Board
P. O. Box CB 10980
Nassau, The Bahamas
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Full name of
Applicant/s....................................................................................................
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Residential/registered address
of Applicant/s
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Nationally of Applicant/s [i]*
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Place and date of birth of
Applicant/s....................................................................................
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Occupation.........................................................................................................................
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Bahamas Immigration Status (if any) of
Applicant/s...............................................................
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Evidence of payment of Real Property Tax and Stamp
Duty....................................................
.........................................................................................................................................
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Description and location
of property held/acquired by the
Applicant.............................................................................
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State whether a house is situated on the property
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State intended use of property acquired
...............................................................................
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A list of properties (if any) in The Bahamas held by the
Applicant/s.........................................
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Full name, address and nationality of
Vendor/s......................................................................
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Purchase price and state how funded and whether by local or
foreign source...........................
.........................................................................................................................................
.........................................................................................................................................
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This application should be accompanied by a Bankers Draft
or postal Money Order in the sum of Bahamian $25.00 made payable to "The
Public Treasury".
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__________________________________
Signature of Applicant or his Attorney
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___________
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FORM 2
CERTIFICATE OF REGISTRATION
ISSUED BY THE INVESTMENTS BOARD |
THE INTERNATIONAL
PERSONS LANDHOLDING ACT, 1993 |
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This is to certify that the acquisition of the following
property to wit:
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has been registered with the Investments Board on the day
of , 20
in the name of:
..................................................................................................................
for use as
.........................................................................................................................
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..................................................................
Secretary to the Board
Investments Board
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..................................................................
DATE
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FORM 3
APPLICATION FOR PERMIT |
INTERNATIONAL
PERSONS LANDHOLDING ACT, 1993 |
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To:
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The Secretary to the Board
Investments Board
P. O. Box CB 10980
Nassau, The Bahamas
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Full name of
Applicant/s.........................................................................................................................
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Residential/registered address of
Applicant............................................................................
.........................................................................................................................................
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Nationality of Applicant/s [ii]*
..................................................................................................
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Place and date of birth of Applicant/s
...................................................................................
.........................................................................................................................................
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Occupation........................................................................................................................
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Bahamas Immigration Status (if any) of Applicant/s
……........................................................
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Description and location of property held/ to be acquired
by the Applicant ...............................
.........................................................................................................................................
.........................................................................................................................................
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State whether a house is situated on the property .................................................................
.........................................................................................................................................
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State intended use of property acquired ...............................................................................
.........................................................................................................................................
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A list of properties (if any) in The Bahamas held by the
Applicant/s ........................................
.........................................................................................................................................
.........................................................................................................................................
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Full name, address and nationality of Vendor/s
.....................................................................
.........................................................................................................................................
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Purchase price and state how funded and whether by local or
foreign source ..........................
.........................................................................................................................................
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Purpose for which property is being or to be used-where
land to be used for development purposes, state the nature and extent of the
development, the period of time within which such will be carried out and how
the cost thereof will be funded.
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.................................................................................
Signature of Applicant or his Attorney
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This application should be accompanied by a Bankers Draft
or Postal Money Order in the sum of Bahamian $25.00 made payable to "The
Public Treasury".
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Where needed further details may be submitted on an
attached sheet and signed.
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FORM 4
PERMIT ISSUED BY THE INVESTMENTS BOARD |
THE INTERNATIONAL
PERSONS LANDHOLDING ACT, 1993 |
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To:
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Permission is hereby granted you to acquire/hold the
following property to wit-
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for
use...............................................................................................................................
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..................................................................
Secretary to the Board
Investments Board
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..................................................................
DATE
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FEES (Part B) |
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$
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Application for
registration
...........................................................................
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25.00
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Application for permit ..................................................................................
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25.00
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Upon issue of certificate of registration or issue of permit where-
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(a) the value [iii] * of the property is $50.000 and under .............................. |
50.00
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(b) the value of the property is over $50,000 but under $101,000 ......... |
75.00
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(c) the value of the property is $101,000 and over ................................. |
100.00
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Home owner resident card
...........................................................................
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500.00
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