Manufacturing Incentive - JAMPRO
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Doing business and investing in Jamaica, is increasingly simple; and it provides a win-win for both the investor and the country. The same can be said for accessing your investment incentives.
Consistent with the Government’s commitment to creating an enabling business environment, was the reform of the country’s fiscal incentive schemes. This led to the enactment of the Fiscal Incentives Act, or the Omnibus Incentive Regime, which came into effect on January 1, 2014.
This regime is governed by four (4) main pieces of legislation as outlined below.
- The Fiscal Incentives Act
- The Income Tax Relief (Large-Scale Projects and Pioneer Industries) Act
- A Stamp Duty Act (Revision)
- A Customs Tariff (Revision) Resolution
Under the Customs Tariff (Revision) Resolution, a key benefit has been introduced, which is the Productive Inputs Relief (PIR) scheme. Through the PIR system, the Government of Jamaica (GOJ) has targeted specific sectors – Agriculture, Manufacturing, Tourism, Healthcare and Creative Industries – in which to promote and stimulate growth in the economy. The PIR provides for the duty-free importation of specific items where they are for productive use. This relief is intended to result in the expansion of productive activities in these areas.
Companies operating in Jamaica can therefore benefit from a range of incentives, which is applied at two main stages: i) import duty relief - when they import items and ii) income tax relief - when they file their taxes.
Includes relief on:
- Customs Import Duties, normally charged when importing goods into the country
- Additional Stamp Duties, usually applied at the port on certain products
- Corporate Income Tax generally levied on the profit income of businesses.
In addition to the Omnibus Incentive Regime, there are several other incentives, which are available to businesses and investors. These include:
- The Urban Renewal (Tax Relief) Act, 1995;
- The Junior Market Income Tax (Amendment) Act, 2016 No. 21;
- The Bauxite and Alumina Industries (Encouragement) Act, 1950;
- The Income Tax (Amendment) Act, 2012 (Group Headquarters) Encouragement Act; and
- The Special Economic Zones Act, 2016.
To learn more about accessing your incentives, just click on one of the “Sectors” below to see the step-by-step guidelines.