How To Pay Property Taxes In Jamaica
Many people ask ‘when should I pay my Property Tax?’ Jamaica property tax is ultimately due on the 1st day in April each year. If you are unable to pay this full amount immediately your payments may be collectable in quarterly installments; though many people avoid this as you will be paying this tax continuously as seen below: Quarterly Installment Payment Dates: April 1, July 1, October 1 and January 1. You should also note that late payments during this arrangement (i.e. made after April 30th) will attract a penalty fee 10% of the outstanding amount. To compound this Jamaica property taxes unpaid after thirty (30) days of the due date will attract an additional penalty of fifteen (15%) percent.
In order to pay your land taxes you can use two methods:
1st Method – Pay Jamaica property tax online – to do this you need to have access to your personal TRN, the property valuation number of the residential or commercial lot in question and a valid credit card. Then you visit the property tax in Jamaica site to create and account and follow the instructions.
2nd Method – You can visit any of the tax offices with your TRN and the property number and make the payment in house. Here is a list of the collectorates:
KINGSTON – King Street, Constant Spring and Cross Roads
MANCHESTER – Mandeville
ST. JAMES – Montego Bay
WESTMORELAND – Savanna-La-Mar
PORTLAND – Morant Bay
ST. ANN – Brown’s Town, St. Ann’s Bay
TRELAWNY – Falmouth
HANOVER – Lucea
Property Taxation In Jamaica- Lenient And Yet Compliance Is Difficult To Achieve. The taxation system in Jamaica can be described as a lenient system. The various revaluations that have been done ought to have resulted in a huge increase in the tax liability. However, the government has ensured that the individual does not face high property tax liability. Despite this, tax recovery remains very low in Jamaica.
This is a big problem for the government. Taking note of the fact that people may not know how to pay property taxes in Jamaica; the government has undertaken various exercises to educate the people on the ways and means to pay taxes on time. On the face of it, there seems no reason why one should faces difficulty in payment of tax in Jamaica. The payment must be made to the Jamaica government tax office well before the deadline imposed by law. It is not very difficult to find out today the date that has been fixed for payment of property tax in Jamaica. Of course, the fact that one has to pay Jamaica property transfer tax as well may be one reason why people get confused.
This tax is payable only when property is transferred. The traditional property tax is payable irrespective of whether any transfer took place or not. The Jamaica real estate tax system is a comprehensive one with all properties covered under its ambit. The law excludes certain properties based on ownership. However, the restrictions and exclusions apart, all properties are liable to be tax.
One exception is the Jamaica government property; tax on this property will be simply taking money from one pocket and placing it in the other pocket. Apart from this source of revenue, the government of Jamaica imposes Jamaica sale taxes on sale of commodities in the country. This is not the same as the property transfer tax that is imposed on all property transactions. Due to the imposition of Jamaican taxes, "real estate in Jamaica" often becomes less attractive for outsiders. However, one must be thankful that as per Jamaican government, property taxes are the only tax imposed on real estate.
The government has not imposed a capital gains tax that would have been applicable to all transactions that were capital in nature (property purchase and sale transactions are always capital unless you are using property as stock in trade). This reduces the burden of paying property taxes in Jamaica as there is one less tax to pay to the government. Many people find it very difficult to motivate themselves to pay property taxes, Jamaica. Of course, this is a normal reaction to tax liability all over the world.
However, Jamaica is acutely facing this problem because hardly four out of every ten persons pay their tax on time. This has compelled the government to come up with various schemes and promotional measures to encourage people to pay their tax on time. The due date of payment was tax was extended from April to June to give people an opportunity to pay the tax without any penalty. The government realized that people may not be paying their tax on time because they do not know how to pay property taxes in Jamaica.
To solve this problem, the government has undertaken awareness programs that tell people how to pay tax in Jamaica. The government allows individuals to drop their payments in drop boxes just as they use drop boxes to pay their credit card bills. Hopefully, these measures should yield returns and the jamaicapropertytax collections should increase. At the end of the day, it is the public that is going to suffer due to non payment of tax.