Inside Jamaica Customs

Jamaica Customs and WTO

"A VALUATION SYSTEMS THAT IS IN KEEPING WITH COMMERCIAL REALITIES"

The World Trade Organization (WTO) Valuation Agreement

The WTO Valuation Agreement is intended to provide a single system that is fair, uniform and neutral. One that conforms to commercial realities is based on objective and quantifiable data and outlaws the use of arbitrary and fictitious values for Customs Duty purposes.

It is rules based and emphasizes the verification of values through post clearance audit for the COMMERCIAL IMPORTERS who maintain proper books and accounting records.

Duties and Taxes on Imported Items

Import/Customs Duty

This is the duty payable on imported goods. The rates of the duty are published in the Jamaican Customs Tariff.

Stamp Duty

Stamp Duty in the Form of Postage Stamps being affixed on Receipts.

Receipts of CIF Value J$5500.00 or Less - $5.00 Stamp (Duty).
Receipts of CIF Value over J$5500.00 - $100.00 Stamp (Duty).

Additional Stamp Duty

In an effort to protect local industry, an additional stamp duty is payable on certain items e.g., meat - chicken and most chicken parts, pork and some pork products, beef and some beef products; some aluminum products, alcoholic beverages and cigarettes.

General Consumption Tax (GCT) and Special Consumption Tax (SCT)

GCT is paid on most goods and services except those items, which are zero-rated, and those, which are exempted.

SCT is payable on a few items. These are alcoholic beverages, most tobacco products and some petroleum products.

Most items attract only GCT, while some attract both GCT and SCT. The petroleum products, which attract SCT, do not attract GCT.

Customs User Fee (CUF)

The Customers User Fee introduced June 1, 2003 is a 2% Cess of the C.I.F value chargeable on Capital Goods and Raw Material imports. It is not refundable.

Exemption of the Fee has been extended to the following:

Government Ministries
Diplomats
International Organisation
Airline Passengers within US$500.00 allowance
New Manufactures (eg. 807 Companies)
Food for the Port

Bureau of Standards Compliance Fee (SCF)

The SCF is chargeable on all finished products being imported in to Jamaica. The fee is .3% of the C.I.F value and is not refundable.

Where are Duties and Taxes on Imported Goods Paid?

Duties and Taxes should be paid to a Customs Cashier at the Customs House or at each clearance point, e.g., wharf or airport. Duties and taxes on imported postal packages should be paid at the Post Office. The duties and taxes on goods requiring a prescribe Import Entry are normally paid at the Customs House and the services of a licensed Customs Broker should be used to undertake this task.

N.B. Jamaican Customs Duties will only be collected in Jamaica by the Jamaica Customs Department.

The Valuation SysteM

Under the new system there are six (6) methods of valuation. They are:

Transaction Value (primary method of valuation)
Transaction Value of Identical Goods
Transaction Value of Similar Goods
Deductive Value
Computed Value (not applicable until March 2004)
Fallback

* These methods must be applied sequentially; Method 1 must be used before Method 2 and so on. The only exception is the reversal of the order of application of the Computed and the Deductive value methods if the importer so requests and the Commissioner agrees.

The Transaction Value

The Transaction value is the price actually paid or payable for the imported goods when sold for export to Jamaica with certain adjustments, i.e. duty will be charged on what was actually paid or payable for the goods.

Evidence To Support The Price Declared

The Customs Department will require documentary evidence to support the price paid or payable. The importer must produce a copy of the seller's invoice or other documents against which full payment will be made. This includes facsimile invoices, additional invoices and all payments to and for the benefit of the seller.

NOTES:
(i) It is the importer's responsibility to maintain and make available upon request, all documentary evidence to support declared values.
(ii) Valuation Declaration is made by the Importer on the Declaration of Particulars relating to Customs Value Forms C84 and C85, for consignment of US$1000.00 or more.