JHTA renews call for urgent talks on proposed GCT increase

Jamaica's tourism industry is expressing deep concern over a proposed increase in the General Consumption Tax (GCT) applied to tourism activities. The Jamaica Hotel and Tourist Association (JHTA) is renewing its call for urgent discussions with the government, emphasizing the potential negative repercussions for the sector.

“

The tourism sector has always been a committed partner in Jamaica’s development. We are therefore disappointed that despite repeated requests since March, we have not yet had the opportunity to discuss a proposal that will have significant implications for businesses, employees, investors, and communities across the country.

Christopher Jarrett, President of the JHTA, stated that the association has repeatedly sought dialogue since March but has yet to engage with the government on the proposal. He highlighted that such a significant fiscal change could have profound implications for businesses, employees, investors, and local communities across Jamaica.

Jarrett stressed that the JHTA seeks a collaborative approach, not confrontation. "We are simply asking for the opportunity to be heard," he said, adding that decisions of this magnitude require meaningful engagement with those directly affected. The association recognizes the government's fiscal responsibilities, especially post-Hurricane Melissa, but insists that consultation is vital.

“

We are simply asking for the opportunity to be heard. Decisions of this magnitude warrant meaningful engagement with the sector they will directly affect. Tourism deserves a seat at the table, and dialogue should be a fundamental part of the process.

The JHTA also pointed out that many hotels and tourism operators have long-term contracts extending beyond 2027, limiting their ability to absorb or pass on additional tax costs without impacting profitability and competitiveness. The continued uncertainty complicates investment, operational, and employment decisions, prompting the association to urge that discussions commence without further delay.

“

Every day that passes without engagement creates greater uncertainty for businesses making investment, operational, and employment decisions. The sector stands ready to engage constructively and work toward common ground.