Tax expert calls for further clarity on GCT order passed in Parliament last week so AirBnB operators are aware of tax obligations
Amidst continued public discourse over the imposition of a General Consumption Tax on Airbnb-style properties and other short-term rentals, one tax expert is calling for clarity on what operators’ tax obligations will be.
Tax Executive Director at Ernst & Young, John Butler, told IRIE FM News that, after reviewing the measure, he found it unclear whether the GCT Amendment of Schedules Order, which was approved in Parliament last week, has the effect of taxing Airbnb rentals.
Mr Butler, who is also the Treasurer at the Jamaica Chamber of Commerce, argued that the move does not change any definitions or rules governing accommodations or tourism activities and only changes the applicable tax rate for tourism from 10% to 15%, effective April 1, 2027.
He said there is some confusion, as indicated in various reports on the matter. He called for the Government to provide further clarity so that persons who operate Airbnb properties are aware of their tax obligations.
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