Expanded Boundaries for UDC-Managed Tax Incentive Programme
The boundary of the government’s Tax Incentive Programme for Urban Renewal (TIP) for the Corporate Area has been expanded even as the programme has been renewed for an additional ten years.
The application process which is managed by the Urban Development Corporation (UDC) on behalf of the Ministry of Finance and the Public Service provides tax relief to companies or individuals undertaking improvement works on either land or buildings. The incentives are offered to both owners and lessees of property in select Special Development Areas (SDAs) identified as suffering blight or decay.
The boundary starts at the Kingston Waterfront from Pechon Street then westerly along the coastline then up Greenwich Street off Spanish Town Road, northerly through several roads until it connects with Marescaux Road up to Arnold Road. The boundary continues down Camp Road unto Deanery Road continuing through East Kingston along Warieka Road and Harbour Road to the Shell Refinery in Rockfort and back along the coastline to Pechon Street.
The boundary shift comes even as the Special Development Area that was established in downtown Kingston under the Urban Renewal Act of 1995 expired on September 15, 2015. A special development area is one which is declared by the minister responsible for urban development for the purpose of urban renewal. A notice reflecting the change was gazetted in January this year. Speaking at a recent staff function in downtown Kingston General Manager of the Urban Development Corporation Dr Damian Graham said the renewed incentive programme is a key aspect of the “re-imaging of Kingston” alongside other efforts which combine to make the city “a thriving financial and business hub”.
The four incentives offered are Urban Renewal Bonds, Investment Tax Credit, Tax Free Rental Income and Exemption from Transfer Tax. The Tax Incentive Programme was first introduced to downtown Kingston in 1995 and was subsequently extended to Port Royal in 1996, Montego Bay in 2000 and Spanish Town in 2008. The Tax Incentive Programme is just one of the investment vehicles that are being utilized to further spur the redevelopment of downtown Kingston and Port Royal. The policy for the two culturally rich areas is aligned with the Vision 2030 Jamaica national development plan.
Beneficiaries under the programme over the years include Digicel, GraceKennedy, Konvertra Ltd, Courts and JN General Insurance Company
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May 17, 2017