Jamaican gov’t passes measure to tax Airbnb-style rentals starting 2027
The Jamaica House of Representatives has approved new tax measures that will impose General Consumption Tax (GCT) on short-term rental accommodations, including Airbnb-style properties, effective April 1, 2027. The measure was passed in the early hours of Wednesday at the close of a marathon parliamentary sitting largely dominated by debate on the National Reconstruction and […] The post Jamaican gov’t passes measure to tax Airbnb-style rentals starting 2027 appeared first on CNW Network.
Black News 
The Jamaica House of Representatives has approved new tax measures that will impose General Consumption Tax (GCT) on short-term rental accommodations, including Airbnb-style properties, effective April 1, 2027.
The measure was passed in the early hours of Wednesday at the close of a marathon parliamentary sitting largely dominated by debate on the National Reconstruction and Resilience Authority (NaRRA) Bill.
Lawmakers gave the green light through the passage of the General Consumption Tax (Amendment of Schedules) Order, 2026, along with a related resolution under the GCT Act. The changes form part of the Government’s broader revenue measures for the 2026/27 financial year.
Finance Minister Fayval Williams said the adjustments are aimed at strengthening fiscal stability amid mounting expenditure pressures following Hurricane Melissa, while ensuring the Government can continue to fund essential services.
During the debate, Opposition Spokesman on Finance Julian Robinson sought confirmation that the amended provisions would apply to short-term rental operators such as Airbnb hosts.
Williams confirmed that they would, agreeing with Robinson’s assessment that the move effectively creates a new category of taxpayers. “This would, in effect, be a new category then that would be eligible to start paying tax as of April 1, 2027, because prior to this they would not have been captured in any form,” she said.
The decision marks a significant policy shift for Jamaica’s rapidly expanding short-term rental market, bringing it more directly into the tax net alongside traditional tourism operators. Large hotel operators have long raised concerns about the lack of regulatory parity with Airbnb-style accommodations.
The move is also expected to impact members of Jamaica’s diaspora, many of whom have invested in short-term rental properties across the island. While there is limited official data quantifying diaspora ownership in the sector, real estate and property management trends suggest a significant share of these properties are owned by Jamaicans living overseas, who often rely on local managers to operate Airbnb listings remotely. The tax change could therefore widen its reach beyond local hosts, affecting a global network of Jamaican property owners who have increasingly turned to short-term rentals as an investment and income stream.
The new measure comes alongside an announced increase in GCT on tourism activities, rising from 10 percent to 15 percent, also taking effect April 1, 2027.
Short-term rentals account for an estimated 20 percent of visitor experiences in Jamaica. The sector has grown rapidly in recent years, with the number of Airbnb guests rising from 59,500 in 2017 to more than 800,000 in 2024, generating over $32 billion in earnings for local property owners, according to data previously cited by then junior tourism minister Delano Seiveright.
Efforts to further regulate the sector have faced resistance. A Jamaica Tourist Board Bill tabled last summer, which proposed mandatory registration and licensing for most short-term rental operators, was stalled following pushback from some industry players. Tourism Minister Edmund Bartlett had framed the legislation as a move to modernise the sector and protect Jamaica’s tourism brand.
In addition to the short-term rental tax, the House also approved amendments to accommodate other previously announced revenue measures. These include increased taxes on alcoholic beverages and cigarettes, changes to motor vehicle duty concessions, and the introduction of a sugar-content-based tax on non-alcoholic sweetened beverages, set to take effect May 1, 2026.
The Government has positioned the package as part of a broader strategy to improve revenue mobilisation and respond to current economic challenges, particularly in the wake of Hurricane Melissa.
The resolution was approved by voice vote, with the Government using its majority to secure passage.
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