Jamaica's Tax Administration has introduced a special consumption tax of JMD 0.22 per gram of added sweetener on non-alcoholic sweetened beverages, effective 1 May 2026.
Jamaica’s tax administration (TAJ) has released Technical Advisory No. 052026/01/GCT-TA on 1 May 2026, which guides both internal and external stakeholders on the implementation and administration of the new special consumption tax (SCT) on non‑alcoholic sweetened beverages (NASBs) arising from amendments to the general consumption tax (GCT) Act and its administration through the Excise Duty Act.
This was announced in the 2026-2027 Revenue Measures tabled in the House by the MoFPS, the Honourable Fayval Williams and implemented by The General Consumption Tax (Amendment of Schedules) Order, 2026, Resolution approved in the House of Representatives on 28 April 2026.
The Special Consumption Tax (SCT) on non-alcoholic sweetened beverages (NASBs) is designed to introduce a consumption-based tax aligned with existing excise duties, such as those applied to alcohol and tobacco. It aims to encourage product reformulation with reduced sweetener content, address public health concerns associated with sugar consumption, and enhance revenue mobilisation on a neutral basis for both domestic and imported products.
The tax is applied at a specific rate of JMD 0.22 per gram of added sweetener. The SCT on NASBs forms part of the Government’s broader fiscal and public health policy framework.
The SCT applies to non-alcoholic sweetened beverages (NASBs), defined as beverages containing less than 0.5% alcohol by volume (ABV), that are commercially produced, packaged, sealed, and ready for retail sale, and intended for direct human consumption without further dilution or preparation, where added sweeteners are incorporated during manufacture.
Products within scope include, but are not limited to, carbonated soft drinks, non-carbonated sweetened beverages such as iced teas, flavoured waters and lemonades, energy and sports drinks, as well as certain fermented beverages (for example, kombucha) that fall below the ABV threshold and are not otherwise subject to alcohol taxation.
The SCT does not apply to liquid whole milk and skimmed milk, 100% juices without added sweeteners, exported NASBs or those shipped as stores, and beverages sweetened at the point of sale, such as in restaurants and cafés. In addition, concentrates, syrups, powders, and drink mixes intended for reconstitution are currently excluded from the scope of the tax.
Manufacturers registered and licensed before 1 May 2026 must account for SCT on NASBs produced or held in storage as of that date, while those registered after 1 May 2026 must account for the tax from the date their licence is issued by the Tax Administration Jamaica.
