Incentive for Farmers
Relief in the form of waivers on applicable duties and taxes on certain inputs for the production of primary products used in the course of conducting farming operations in 5 (five) categories in the Fiscal (Miscellaneous) Incentives Act.
Primary production means cultivation, growth, breeding, rearing. The five (5) categories include:
· Agricultural crops, livestock, poultry or dairy
· Apiculture
· Forestry
· Horticulture
· Aquaculture
Required Documents to be submitted to the Parish Office where your farm is located
· Application Form
· Tax Compliance Certificate Notification - Both pages to show expiry date (original)
· Proforma Invoice of inputs are recommended but not a requirement
The approval for PIR is given by the Jamaica Customs Agency after their verification visit. The approval may be for a period of three (3) months, six (6) months, one (1) year or three (3) years.
Note:
1. It is advised that this process be completed and approval given before importing items to avoid lengthy delays and accruing storage fees.
2. Once farmers have expanded into manufacturing or agro-processing, the PIR incentive on inputs is accessible through the Industry Division at the Ministry of Industry, Investment and Commerce (MIIC).
To be a beneficiary of 20% Duty Concession and Approved Farming Enterprise incentive, farmers/farming enterprises must be registered with the Rural Agricultural Development Authority (RADA).
The requirements for Duty Concession on Farm Vehicles (Pickup Trucks) incentive are:
Required Documents to be submitted to the Parish Office where your farm is located
· Application Form
· Tax Compliance Certificate Notification - Both pages to show expiry date (original)
· Certified Copy of Title or a Lease Agreement (at least five (5) years) witnessed by a JP (the JP should sign as the Witness)
· Current Tax Receipt(s)
· Proforma Invoice (original)
Criteria for Duty Concession on Farm Vehicles (Pickup Trucks)
- The qualifying criteria should be based on levels of production/output instead of merely number of acres, colonies, etc. Accordingly, it was decided that annual gross return from the agricultural enterprises of the applicant should not be less than $250,000.00.
- To reduce abuse of the system, incentives should only be given as a reward for production. A mere statement of intention to produce is not
- With a minimum of $250,000.00 annual return being the basic criteria, the other conditions recommended are:
|
Beekeeping (Apiary) |
125 colonies |
|
Food Crops |
3 acres |
|
Vegetables/Condiments |
2 acres |
|
Nursery Production & Ornamental |
5 acres |
|
Cattle |
30 feedlot or 30 heads (pasture) dairy milking cows |
|
Broilers |
5,000 birds |
|
Layers |
1,000 birds |
|
Pigs |
50 fatteners, 10 sow units |
|
Fish Farm |
1 acre (ponds) |
Traditional Crops
|
Coffee |
3 acres |
|
Citrus |
8 acres |
|
Pimento |
10 acres |
|
Sugar Cane |
10 acres |
|
Cocoa |
5 acres |
|
Banana |
5 acres |
|
Coconut |
5 acres |
4. Criteria for more than one (1) vehicle
There is a limit on the number of motor vehicles which can be assessed in any given year and only once every five years according to the farm size;
1. Small farms (1-10 acres) can access 1 motor vehicle every 5 years.
2. Medium sized farms (11-49 acres) can access 2 vehicles every 5 years
3. Large farms (over 50 acres) can access 3 motor vehicles every 5 years
5. Qualifying vehicles for the duty waiver
1. Trucks, commonly known as pick-ups, using gasoline with a restriction of 3,000 cc rating
2. Trucks, commonly known as pick-ups, using diesel fuel with a restriction of 3,200 cc rating.