Gov’t Moves to Update Income Tax Relief Act for Large-Scale Projects and Pioneer Industries

The Government is in the process of repealing and updating the Income Tax Relief (Large-Scale Projects and Pioneer Industries) Act to, “ensure that it is fit for purpose” according to Minister of Finance and the Public Service, Hon. Fayval Williams.

The revamped legislation is expected to offer a range of tax benefits to large-scale investors.

Minister Williams, who was delivering the opening 2025/26 Budget Debate presentation in the House of Representatives on Tuesday (March 11), said work to update the legislation is advanced following Cabinet’s approval in December 2019 for amendments to be effected.

“If you look at the history of this [Act], it was enacted in December 2023 but it has not been able to take effect just yet because there had to be some significant rework,” she informed.

Mrs. Williams emphasised the significant economic benefits expected from the implementation of this legislation, noting that it will be brought to Parliament by the end of the 2024/25 fiscal year.

She pointed out that the Harmony Cove Limited Development Project, a joint venture between the Government and private investment company Tavistock Group Incorporated, has been awaiting the Act’s passage.

The Government, through Harmonisation Limited, and Tavistock, entered an agreement in 2006 to develop a large-scale luxury resort project in Harmony Cove, Trelawny.

The development will result in a US$1-billion investment in Jamaica, Minister Williams said.

“We have been working on it, given the vast economic benefits that the Act is intended to achieve for Jamaica. It is imperative that the Act finally be operational so that the country can reap the rewards from the framework that it established to support large investments and economic development,” she added.