Jamaica gambling taxes

Taxation of operators and players (Jamaica)

1) The big picture: who collects and controls

Regulator and administrators: the sector regulates BGLC; taxes and duties are remitted to Tax Administration Jamaica (TAJ), and a portion is remitted directly to BGLC at set shares.

Base and timing: for most verticals, the key base is gross gaming income (GGR/Gross Profit), with monthly reporting and payments. For individual taxes, weekly/monthly deadlines are set.

2) Players: Win tax

Bet and threshold: 20% withheld with winnings over JMD 15,000 (applies to "all games"; the operator holds on payment). This practice is enshrined in the BGLC's official "Quick Guide."

How it works in practice: the player receives the amount "net," after the tax is withheld by the source of the payment.

Important: if you are a non-resident of Jamaica or a tax resident with other sources of income, the general personal income tax regime for your situation determines the TAJ; basic income tax limits/rates are published by PwC, but the payoff deduction itself makes the bulk of the liability for that income.

3) Operators: what taxes and contributions by vertical

a) Slots - Gaming sector (prescribed premises)

7.5% GGR - listed in TAJ;

2.5% GGR - contribution to BGLC (total 10% from GGR).

Procedure: meter-reading for each machine, form of GTO1, due date - until the 7th day of the month following the reporting one. For delay - the scale of fines (15 %/30 %/45 %/60% of the annual car tax depending on the date).

b) Sports betting (bookmakers)

Sports betting tax: in current practice - 9% of GGR in total, of which 8% goes to the Consolidated Fund (through TAJ) and 1% to BGLC. Historically, the law described the construction of "7% + earmarks," but the allocation was updated; current shares are reflected in the BGLC management. The payment period for "sports betting tax" is up to 14 days after the week for which the winnings are calculated.

c) Betting/betting pools

Pool Betting Duty is paid by the sweepstakes operator within a 14-day period after the event; record keeping and presentation are mandatory.

d) Lotteries

Lottery companies operate under a BGLC license; taxation is based on GGR and ticket revenue, plus deductions from winnings apply (see § 2). Industry reviews record a 2014 upward reform in shares for BGLC and CHASE (on gross weekly sale), but since 2017, part of the proceeds has been sent to the Consolidated Fund, and CHASE receives transfers from the budget.

4) CHASE Fund: How the funding mechanism has changed

CHASE (Culture, Health, Arts, Sports, Education) has historically received direct deductions "under betting and lottery law." Since 2017, the structure has changed: tax revenues are directed to the budget (Consolidated Fund), and CHASE is funded from it as a subsidized recipient. This affects the "addressing" of payments by operators, but does not cancel their obligations.

5) License fees and small print for operators

BGLC annual fees depend on the type of business: "prescribed premises," slot machine licenses, off-tracks, "sports betting outlet," etc.; the list and amounts are published in the "Quick Guide" and in BGLC notices.

Regularity: licensing and fees - for the financial year ending March 31; you should file and pay for renewal by March 31st.

Fines: for late payment on machines - progressive fines (see § 3a); for violations of reporting and inspections - sanctions up to suspension/revocation of licenses.

6) VAT/GCT and other taxes

Services rendered under the BGLA are exempt from GCT (Jamaican equivalent of VAT) under the government's Revenue Enhancement Measures document (GCT Act Annex: Exemption for services rendered in connection with the BGLA). That is, the bet/GCT does not apply to the bet/play service itself; but other related goods/services of the operator may be subject to GCT under general rules.

7) Calculation examples

• GGR for the month = JMD 10,000,000.
• Payments: 7.5% TAJ = JMD 750,000 + 2.5% BGLC = JMD 250,000. Total: JMD 1,000,000 for the month, plus license fees by machine.

• GGR for the week = JMD 5,000,000.
• Payment up to 14 days: 8% CF (TAJ) = JMD 400,000 + 1% BGLC = JMD 50,000. Total: JMD 450,000.

• Bet win = JMD 120,000.
• Withholding: 20% for> 15,000 ⇒ 20% × 120,000 = JMD 24,000. The player is JMD 96,000.

8) What else is important for businesses and players to know

Reporting and accounting: for slots - mandatory meter reading and electronic submission; for rates - the weekly base and the right of inspections by the tax authorities.

Rule updates: there were changes in rates/distributions after 2014; current rates and forms are in recent BGLC/TAJ publications. Always check the "Quick Guide" and regulator notifications.

Responsibility for advertising and 18 +: in parallel with taxes, the operator is obliged to comply with the code of responsible play (age 18 +) and the rules of promo.

In Jamaica, the gambling tax architecture is built around GGR taxes on verticals and 20% withholding on player winnings. For slots, 10% of GGR is valid (7.5% TAJ + 2.5% BGLC), for sports bets - 9% of GGR (8% in the Consolidated Fund + 1% BGLC), plus special modes for pool betting and lotteries. After 2017, CHASE funding goes through the budget, but operators' obligations for deductions and reporting remain strict. Compliance with deadlines, correct submission of forms and compliance is the key to smooth work.