The Jamaican government did not have to await amendments to the Customs Act to grant the recently announced increases in the allowances for personal imports as well as for returning passengers with goods bought overseas.
The amounts charged for customs duties are not written in the Act, therefore, there was no need for an amendment. The rates of duty are published in the Jamaica Customs Tariff, which may be purchased from Jamaica Printing Services at 77 ½ Duke Street, Kingston.
Effective at the start of the next fiscal year in April 2024, the duty-free allowance on personal imports will move to US$100.00 up from $US50.00. Additionally, the threshold for persons returning with goods bought overseas will move from US$500 to US$1,000.00.
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No Amendments to Customs Act to Facilitate Recent Increases
The Jamaican government did not have to await amendments to the Customs Act to grant the recently announced increases in the allowances for personal imports as well as for returning passengers with goods bought overseas.
The amounts charged for customs duties are not written in the Act, therefore, there was no need for an amendment. The rates of duty are published in the Jamaica Customs Tariff, which may be purchased from Jamaica Printing Services at 77 ½ Duke Street, Kingston.
Effective at the start of the next fiscal year in April 2024, the duty-free allowance on personal imports will move to US$100.00 up from $US50.00. Additionally, the threshold for persons returning with goods bought overseas will move from US$500 to US$1,000.00.
The Government will be giving up between $1 billion and $1.5 billion in annual revenue when this measure is implemented.
Section 5 subsection 1 of the Customs Act says:
“It shall be lawful for the House of Representatives from time to time, by resolution, to impose import or export duties of customs upon any goods whatsoever, which may be imported into or exported from the Island, and to revoke, reduce, increase or alter any such duties, and to provide for the importation or exportation of any goods without the payment of customs duty thereon.”
It goes on further to say in Section 6 that:
“Notwithstanding anything contained in Section 5, the Minister may by order (a) increase or reduce any export duties of customs, or (b) from the date of publication of such order in the Gazette, and until the expiry of such order, the duties specified in such order shall be payable in lieu of any duties prior thereto.”
However, the finance minister must give an interim order for the new amounts to be effective and this order must be affirmed by the House of Representatives.
Section 7 of the Customs Act mandates the procedure for bringing that order before the House.
“Every order issued by the Minister, shall, after four days and within twenty-one days (21) from the date of its first publication be submitted to the House of Representatives and the House of Representatives may, by resolution, confirm, amend or revoke such order and upon publication of the resolution of the House of Representatives in the Gazette, the resolution shall have effect and the order shall then expire. If the order be not submitted within the said period of twenty-one days to the House of Representatives for confirmation, it shall ipso facto expire.”
By ipso facto, it means by its very nature, therefore if the order is not submitted to the House within the 21 days, it shall expire.
A new Customs Act is in now before the House and when passed, it will provide the centerpiece for the modernisation and transformation of the Customs landscape, as the legislation will better address the complexities of the modern trade and commerce environment, as well as facilitate ease of cross border trade and other commercial activities.
The Customs Act, 2020 will repeal and replace the current 1941 law, and provide a modern framework that enhances the ease of doing business. It will improve Customs practices and procedures to facilitate trade effectively and efficiently and will also ensure increased predictability and compliance with Customs regulations.
Jamaica Customs Agency (JCA) recently received ISO 9001:2015 certification from the National Certification Body of Jamaica (NCBJ), making Jamaica Customs the first English-speaking Customs administration to receive the global stamp of approval.
