JHTA defers comment on proposed tax increase on tourism activities until after talks with Government; meeting coming soon

The Jamaica Hotel and Tourist Association (JHTA) has deferred comment on the proposed increase in the General Consumption Tax (GCT) on tourism activities until after discussions with the Government.

The proposal was outlined in the revenue measures tabled in Parliament by Finance Minister, Fayval Williams, on Thursday.

It noted that starting April 1, 2027, people offering tourism activities will be charged a GCT rate of 15 per cent.

This is 5 per cent more than the current charge.

Mrs. Williams explained that implementation of the revenue measure would be delayed until the next fiscal year, because the Government recognises that the tourism sector is still recovering from Hurricane Melissa.

Yesterday, Jamaica Chamber of Commerce Treasurer and Deputy Chair of the Economic Affairs and Taxation Committee, John Butler, told IRIE FM News that the move may raise concern among industry players about being competitive in relation to other countries.

When asked for a comment this morning, JHTA President, Christopher Jarrett, said hoteliers are to meet with the Government and other stakeholders in the tourism sector soon, and that the proposed tax is among agenda items for discussion.

He will comment on the issue afterwards.