← Guides / Jamaica

Jamaica Corporate Income Tax Guide (CIT)

Jamaica's Corporate Income Tax (CIT) is levied at a standard rate of 25% on taxable profits. A reduced 20% rate applies to small businesses with annual revenue below JMD 50 million, and 0% CIT for up to 10 years is available for companies operating in Special Economic Zones (SEZs).

Corporate income tax in Jamaica is administered by Tax Administration Jamaica (TAJ). The tax year aligns with the calendar year (January–December), though companies may apply for a different fiscal year-end. For related guidance, see our Personal Tax Guide →, GCT Guide →, and Investment Incentives Guide →.

Corporate Tax Rates 2026

  • Standard rate: 25% of chargeable profits for most companies.
  • Small business rate: 20% for companies with gross revenue below JMD 50 million in the preceding year of assessment.
  • Special Economic Zones (SEZ): 0% CIT for the first 10 years of operation, followed by a reduced rate for subsequent years.
  • Tourism sector: Certain tourism enterprises may qualify for a reduced 5% rate under the Tourism Incentives Act.
  • Capital gains: Jamaica does not levy a separate capital gains tax; corporate capital gains are included in ordinary income and taxed at the CIT rate.

Taxable Income and Deductions

  • Chargeable profits are calculated as gross revenue minus allowable deductions (business expenses, depreciation, interest, etc.).
  • Depreciation: Capital allowances are available on qualifying assets at prescribed rates (e.g., plant and machinery 20% per annum declining balance).
  • Loss carry-forward: Unrelieved trading losses may be carried forward indefinitely, subject to continuity of ownership and business tests.
  • Thin capitalization: Interest deductions on related-party debt are restricted under transfer pricing rules.

Small Business Rate (20%)

  • Available to companies with gross revenue below JMD 50 million in the preceding year.
  • Must be a registered taxpayer in good standing with TAJ.
  • Certain sectors (e.g., financial services, utilities) may be excluded from the reduced rate.
  • The reduced rate applies to the entire chargeable profit, not just the first JMD 50 million.

Filing and Payment

  • Annual return: Corporate tax returns must be filed by March 15 following the end of the tax year (or fiscal year).
  • Estimated payments: Companies must make quarterly estimated tax payments if the prior year's liability exceeded a threshold.
  • Final payment: Any balance of tax due must be paid by the filing deadline (March 15).
  • Penalties: Late filing and late payment penalties apply (up to 10% per annum on unpaid tax, plus interest).

Key Takeaways

  • Standard CIT rate is 25%; small businesses (revenue under JMD 50M) pay 20%.
  • SEZ companies enjoy 0% CIT for the first 10 years.
  • Annual returns due by March 15 following the tax year.
  • Losses can be carried forward indefinitely.
  • Transfer pricing and thin capitalization rules apply.

Related Guides

Haiti Personal Tax Guide: Progressive PIT 0-30% 2026Haiti personal income tax — progressive 0-30% rates, HTG 60K threshold, social security deductions, and tax credits for 2026.Grenada Personal Tax Guide: Progressive PIT 0-28% 2026Grenada personal income tax — progressive 0-28% rates, XCD 36,000 tax-free threshold, social security deductions, and tax credits for 2026.Mexico Capital Gains Tax Guide 2026 — CGT Included in ISR, 10% Flat on Shares, 20% on Real Estatecapital gains tax in Mexico. Capital gains are included within the ISR framework — 10% flat optional rate on listed shares, 20% on real estate gains via a separate rate, inflation adjustment for propeAfghanistan Personal Tax Guide 2026 — IIT 10–20% Progressive, AFN 60K ExemptionAfghan personal income tax (IIT). Progressive rates 10%, 15%, 20% across 3 annual brackets. Tax-free threshold AFN 60,000/year. Filing under the Solar Hijri calendar and compliance for 2026.Jamaica Tax Residency Guide (2026 — 183-Day Rule, DTTs, Permanent Establishment)Jamaican tax residency — 183-day physical presence test, permanent establishment rules for businesses, double taxation treaties (over 20 DTTs including UK, US, Canada, CARICOM), and implications for 2Cambodia Crypto Tax Guide 2026 — Crypto as Income, CGT or TOS TreatmentCambodian cryptocurrency taxation. Crypto gains treated as income (TOS or CIT) or CGT depending on taxpayer and activity. GDT guidance is evolving. Mining, trading, and staking tax implications.
Browse all guides →