Can I access any fiscal incentives outside of the Omnibus Incentives Legislation?

Can I access any fiscal incentives outside of the Omnibus Incentives Legislation?

Yes, the Government of Jamaica has kept four (4) following legislated incentives post January 1, 2014 given their significance to continued economic growth and development:

  • The Jamaica Export Free Zones Act

Companies designated with the Free Zone status are permitted to import items free of customs duty, value-added tax (called the General Consumption Tax – GCT) and other port related taxes and fees for an indefinite period.  Profits earned are also free from income tax for an indefinite period. Eligibility is dependent primarily on the exportation of 85% of the goods and services produced within the Free Zone. This Act is slated to be repealed in 2015 at which time a new fiscal incentive arrangement will be put in place.

  • The Urban Renewal Act

Companies that undertake development within the designated Special Development Areas benefit from Urban Renewal Bonds, a 33.3% investment tax credit, tax free rental income and the exemption from transfer tax and stamp duties on the ‘improved’ property.

  • The Income Tax Act (Junior Stock Exchange) – with some revisions

As of January 1, 2014 companies will not be required to pay income tax in the first five (5) years. A company listing after January 1, 2017 will be ineligible for this incentive.

  • Bauxite and Alumina Industries (Encouragement) Act

Recognized Bauxite & Alumina Producers are permitted to import all productive inputs free of import duties, the value-added tax (called the General Consumption Tax – GCT) and other port related taxes and fees.