Jamaica does not currently offer production incentives in the form of tax credits or cash rebates, but there are incentives on production inputs. Under the Fiscal Incentives Act (2013), registered film producers, local production houses or individuals wishing to produce films and create content in Jamaica can benefit from the following after registration on the Entertainment Registry:
Employment Tax Credit (ETC) which provides for a maximum 30% credit on the PAYE, which can reduce the income tax liability of the company to as low as 17.5%, where they pay all taxes in full.
Capital Allowances that cover, among other things, a broadened definition of ‘industrial buildings’. The capital allowance scheme is quite involved and more details should be pulled directly from the TAJ
Duty-free Importation of Equipment and Machinery, as well as revised tariff rates ranging from 0% to no higher than 20% (with some exceptions)
Productive Input Relief (PIR) which grants an exemption from the import duty on items deemed necessary for the production of film in Jamaica. Legal provision for this is covered in the Customs Resolution 2013 Amendment, Part 5, whereby musicians and film-makers are able to import industry-related items when they are registered under the Entertainment Registry, which is managed by the Ministry of Culture, Gender, Entertainment, and Sport. Once registered the companies will be required to pay the customs duty and the Additional Stamp Duty (ASD) when purchased for productive use.
International production companies benefit from the bond waiver for temporary importation, as well as the various permit facilitation including business friendly entry requirements and easy access to the visas and work permits needed to facilitate projects in the industry. International production companies can choose to register their business in Jamaica in order to enjoy the local benefits above.
Film Industry Bond Waiver on the temporary importation of film equipment by a foreign based crew