Properties Jamaica | Jamaica Real Estate Portal » Property Tax

Government Announces Property Tax Hike

Properties Jamaica Admin — Wed, 31 Mar 2010 16:28:33 +0000

While speaking in Parliament yesterday, Finance Minister Audley Shaw announced a whopping hike in Jamaica’s property tax rates effective tomorrow, April 1.

The increase will see the flat rate (applicable to property with unimproved value up to $300,000) move from $600 to $1,000. Rates in respect of property with unimproved values exceeding $300,000 will attract 0.75 per cent for every additional dollar, up from 0.5 per cent. So for example, a property that’s worth $1 million will now attract $6,250 in taxes (up from $4,100).

Minister Shaw also announced the Government’s intention to take very strong steps and spend a significant amount of time on the area of tax compliance, both in respect of property taxes and other tax types. According to the Minister, there is currently a 55 per cent compliance rate for property tax payment in Jamaica, and the Government will be seeking to improve this significantly.

Property taxes are said to be used for the collection and disposal of solid waste as well as paying for street lights and administrative costs of parish councils. Jamaica’s property tax rates were last adjusted in 2005, when the Government did away with the previous value-band system.

Stamp Duty & Transfer Tax Cuts Brought Forward

Properties Jamaica Admin — Thu, 30 Jul 2009 06:04:53 +0000

In April of this year, the Minister of Finance and the Public Service – Audley Shaw – announced in Parliament that effective January 1, 2010, stamp duty would be reduced from 4.5% to 3%, and transfer tax from 5% to 4%. This was seen as an effort to help boost Jamaica’s ailing real estate market, however many thought that January 2010 was far too long to wait, and that the sector needed it now.

While speaking in Parliament yesterday however, Minister Shaw said that the Tax Administration Department of the ministry “has reported a drastic reduction in transactions resulting in further revenue loss and a slowdown in real estate business; consequently, the Cabinet has decided to bring the implementation date of the further reduction in Stamp Duty and Transfer Tax forward to August 1.”

“In retrospect, it was too long a time to seek to implement it by January 1, and there was more than anecdotal evidence that some persons were holding on and awaiting the new date and there is no question that there was also a level of depression,” Minister Shaw stated.

“With this proposed implementation, the Stamp Duty and Transfer Tax will have been reduced by almost 50 per cent since this administration took office in 2007,” he added.

Property Taxes Due June 30

Properties Jamaica Admin — Wed, 24 Jun 2009 20:01:41 +0000

Property owners are being reminded that they have until June 30 to pay their property tax for the 2009 – 2010 period. After that, a 10% penalty will be applied for late payment.

Remember also that you have the option to make property tax payments in half-yearly installments (April 1 and October 1) or quarterly (April 1, July 1, October 1, and January 1).

For more information, contact the Tax Administration Customer Care Centre:
1-888-TAX-HELP (1-888-829-4357) (local);
1-888-GO-JATAX (1-888-46-52829) (USA);
taxhelp@tasd.gov.jm
www.jamaicatax.gov.jm.

Property Tax Deadline Extended

Properties Jamaica Admin — Wed, 06 May 2009 06:19:19 +0000

The Government’s Tax Administration Department has extended the deadline for persons to pay 2009-2010 period property tax due to June 30. Persons have until then to pay their outstanding property taxes – without the 10 per cent penalty being applied for late payment.

Property owners are being encouraged to make use of the extension and make their payments by June 30, because come July 1, the 10 per cent penalty will be automatically applied by the administration’s computer system.

Persons are also reminded that property tax payments can be made in half-yearly installments on April 1 and October 1, or in quarterly installments on April 1, July 1, October 1 and January 1.

For more information, persons may contact the Tax Administration Customer Care Centre at 1-888-TAX-HELP (1-888-829-4357) (local); 1-888-GO-JATAX (1-888-46-52829) (USA); taxhelp@tasd.gov.jm or online at www.jamaicatax.gov.jm

Property Tax Pardon For Laid Off Workers

Properties Jamaica Admin — Wed, 15 Apr 2009 14:25:43 +0000

Workers who have been laid off (made redundant) as well as other persons (including pensioners, persons with disabilities and those with fixed income) who are struggling in the current economic climate, may be eligible for a property-tax waiver that would remove a percentage of the sum owed to the Jamaican Government. This special discretionary relief is granted by the finance ministry, and application forms may be collected at parish council offices or any of the 29 tax collectorates islandwide. The completed forms should be submitted to the relevant parish council, but approval of the relief would be solely at the discretion of the Ministry of Finance.

A percentage can be waived, but this figure would be determined by the finance ministry.

Other landowners who are having difficulties making their lump sum property tax payments can also apply to pay via one of two payment plan options – (i) Semi-Annual Plan – first payment on April 1, second payment on October 1 and (ii) Quarterly Plan – First payment on April 1, second payment on July 1, third payment on October 1, fourth and final payment on January 1.