Jamaica is continuing to work towards measures to avoid dual taxation in reference to preventing income tax evasion. These provide full protection to taxpayers against double taxation and allow for the free flow of international trade or cross-border transactions and investments and the transfer of technology.
This brings the number of Double Taxation Agreements (DTA’s) to 16, with others in place with China, Denmark, France, Germany, Israel, Italy, Japan, Mexico, Spain, Sweden, Switzerland, the United Kingdom, Canada, the United States and Norway. Jamaica has taken great strides to protect its citizens and to be recognised as a country that works to improve its investment relationships globally and, in turn, its economic stature. A recent signing of a further dual taxation agreement took place in October 2022 by the Jamaican and United Arab Emirates (UAE) governments. Jamaica has a Tax Information and Exchange Agreement (TIEA) in place with Macau, Brazil and most of the Nordic countries, namely Iceland, Norway, Faroe Islands, Denmark, Finland and Greenland. Jamaica is also a member of the CARICOM Multilateral Tax Agreement.
Alongside the signing of this recent Double Taxation Agreement, an increase in tourism, one of the most significant contributors to Jamaica’s GDP, is also fuelling Jamaica’s economic recovery. Tourist numbers are said to be steadily returning to those last seen just before the COVID-19 pandemic. Jamaica was also the first in the region to independently sponsor a catastrophe (cat) bond. to provide the government with financial protection in the event of a loss should the country be affected by major hurricanes. The cat bond, priced by The World Bank (International Bank for Reconstruction and Development) is said to be secured for up to $185 million. With tourism, in conjunction with the country’s continued efforts to take steps to make its economy stronger, the possibilities for Jamaica are endless.
Axco's insurance market reports (non-life and life & benefits) for Jamaica provide a review of risk factors affecting the country and data and insight acquired from country visits and interviews with local market participants.