KINGSTON, Jamaica, May 18, CMC – The Tax Administration Jamaica (TAJ) says the planned increase in the Environmental Protection Levy (EPL) has been delayed as the government is yet to complete the legislative process required to bring the measure into force.
The measure was scheduled to take effect on May 1 and the TAJ said the implementation of the revised EPL rate from 0.5 per cent to 0.85 per cent remains pending until the necessary legislative amendments are finalised.
It is advising manufacturers and importers that although the revised EPL rates and related measures were announced as part of the Government’s 2026/2027 fiscal initiatives, the enabling legislation has not yet been completed and, as such, the new rates cannot currently be enforced.
Finance Minister Fayval Williams had announced the increase as part of the government’s revenue measures, noting that it would earn the government approximately J$3. 6 billion (One Jamaica dollar=US$0.008 cents) in revenue.
Under the proposed changes, the EPL applicable to domestic manufacturers would remain at 75 per cent of sales value, while the levy rate on imported and locally manufactured goods would increase to 0.85 per cent.
The Andrew Holness government had indicated that the adjustment followed consultations with manufacturers and industry representatives, who raised concerns about competitiveness and ensuring parity between locally produced and imported goods.
The revised EPL measures were also announced as part of broader revenue initiatives aimed at supporting climate resilience and national recovery efforts.
TAJ said the existing EPL arrangements will remain in effect until the legislative amendments are completed and an official implementation date is announced by the government and it is encouraging manufacturers and importers seeking additional information to visit the information hub on the TAJ’s website.
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