Jamaica Commended for Tax Progress

August 27, 2013 Taxation in Jamaica

Jamaica 20 dollarsKINGSTON – The government of Jamaica is making praiseworthy progress to making the country’s tax system more efficient, simpler, and broader.

Last week the International Monetary Fund (IMF) issued a new press release, detailing the results and conclusions of its assessment into Jamaica’s headway towards improving the economy and tax system.

The IMF praised the government of Jamaica for the moves being made to improve tax collections, noting that “… several legislative amendments have been adopted to bolster tax administration, and the resources of the large taxpayers office have been increased.”

It was also acknowledged that the government of Jamaica is taking steps to implement new legislative measures to broaden the tax base and to secure the country’s fiscal position over the long term.

As a main task the government intends to launch an extensive tax reform program, to simplify the tax system, cut tax rates, reduce economic distortions and support economic growth.

The tax reform is expected to be implemented gradually, starting with the the enactment of new legislation to “…to replace and streamline the many existing sectoral incentive schemes by a rules-based regime for limited tax incentives.”

The assessment by the IMF is intended to determine whether the government of Jamaica is making enough progress to warrant reviving a USD 30 million loan.

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