How much tax do I have to pay?

1. Import Duty/Customs Duty

This is the tax payable on imported goods. The rates of duty are published in the Jamaica Customs Tariff, which can be purchased from Jamaica Printing Services at 77 ½ Duke Street, Kingston, Telephone (876) 967-2250; www.jps1992@cwjamaica.com.

2. Stamp Duty

Postage Stamps amounting to the value of Jamaican Five Dollars ($5) must be affixed to receipts with a Cost Insurance and Freight (c.i.f.) value of Five Thousand Five Hundred Jamaican Dollars (J$5,500) and less. For receipts with values above this range, One Hundred Dollars ($100) worth of stamps must be affixed.

3. Additional Stamp Duty (ASD)

Additional stamp duty is payable on certain items e.g., chicken and most chicken parts, pork and some pork products, beef and some beef products; some aluminum products, alcoholic beverages, and cigarettes.

4. General Consumption Tax (GCT) and Special Consumption Tax (SCT)

The General Consumption Tax Act provides for two main types of taxes

These are the General Consumption Tax (GCT) and Special Consumption Tax (SCT).

Since October 22, 1991, the General Consumption Tax (GCT) and Special Consumption Tax (SCT) have replaced several duties and taxes, e.g., Excise Duty, CARICOM Duty, Consumption Duty, Entertainment Duty, Retail Sales Tax, Hotel Accommodation Tax and Telephone Service Tax.

GCT is paid on goods and services except for those items that are zero-rated and those that are exempted from GCT. Zero-rated items are items that attract 0% GCT. Exempted items are items that do not attract GCT.

SCT is payable on a few items. These are alcoholic beverages, most tobacco products, and some petroleum products.

Most items attract only GCT, while some attract both GCT and SCT.

5. Standard Compliance Fee (SCF)

This is a fee of 0.3% collected on behalf of the Bureau of Standards. SCF is calculated on the CIF value.

6. Customs Administrative Fee (CAF)

The Customs Administrative Fee is payable on the processing of documents, the examination of goods, and on specific imported commodities.

7. Cost, Insurance and Freight (CIF)

Cost: This is the total cost of the goods abroad including ex-factory price, commission, mark-up, and inland freight but excluding sales tax and interest. The cost of the goods is sometimes expressed as FOB (Free on Board) or FOA (Free on Air)

Insurance: This is the insurance charge which is payable to transport the goods to Jamaica in order to ensure that some compensation will be available to you in the event of the loss or damage of the goods.

If you have not paid any insurance charges when freighting your goods to Jamaica, an insurance charge is still applicable for valuation purposes. For goods arriving by sea, the insurance charge is 1.5% of the total Cost and Freight(c. & f.), that is, if the goods cost US$100 and the freight charge is US$50, then C&F would be US$100 + US$50 = US$150. 1.5% of US$150, i.e. 150 x 3/200 = US$2.25.

Total c.i.f. therefore is $100 + $50 + $2.25 = US$152.25.

For shipments arriving by air, the insurance applicable is 1% of the Total Cost and Freight. The insurance rate of 1.5% is applicable to marine cargo.

Freight: This is the amount of money paid or payable to the shipping agent or the airlines for the goods to be shipped or transported to Jamaica, including inland freight, packaging and handling charges.

8. Environmental Levy

0.5% of the CIF value of all imports

James Stephenson

Shipping Manager