Cayman Extends Import Duty Relief For Building Materials
by Mike Godfrey, Lowtax.net, Washington
04 December, 2017
The Cayman Government has extended the flat 15 percent import duty concessionary rate on building materials imported into Grand Cayman to December 31, 2018.
Building materials benefitting from the concession are defined as: "All physical components and substances, whether solid or liquid, used in 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 percent concessionary duty rate.
Commenting on the extension of the duty concession for a further year, the territory's Minister for Finance and Economic Development, Roy McTaggart, said: "The Government is committed to 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 six percent higher in the first six months of 2017 when compared to the same period in 2016."
While the import duty concession extension is limited to imports into Grand Cayman, the islands of Cayman Brac and Little Cayman benefit from a more generous 100 percent import duty waiver for building materials. Cayman Brac also enjoys a 100 percent stamp duty waiver on land purchases, and an import duty concessionary rate of 12.5 cents per gallon on motor gasoline. These concessions are in place until December 31, 2020.
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