Duty Concessions Extended
The Government has extended the flat 15% import duty rate on building materials imported to Grand Cayman for a further year, to 31 December 2018.
In explaining the reason for the extension of the duty concession, the Minister for Finance and Economic Development, the Honourable Roy McTaggart, said, "The Government is committed on ensuring that our economy is on a path towards long-term sustainability that brings prosperity and employment opportunities for our people. The construction industry continues to spur economic activity - the value of imported building materials has increased on average by 9.7 percent per year between 2011 and 2016 and was 6.0 percent higher in the first six months of 2017 when compared to the same period in 2016."
For the purpose of the concession, building materials are defined as: "All physical components and substances, whether solid or liquid, used in the construction, renovation or restoration and forming a permanent part of any building or related structure." Items such as furniture, accessories, electronics and appliances are specifically excluded from the 15% concessionary duty rate.
With respect to Cayman Brac and Little Cayman, the following duty concessions are in place until 31 December 2020:
- a 100% import duty waiver on building materials imported to Cayman Brac and Little Cayman;
- an import duty concessionary rate of 12.5 cents per gallon on the importation of motor gasoline to Cayman Brac.
a 100% stamp duty waiver, in respect of land purchases on Cayman Brac; and