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House passes bill to continue Junior Stock Market incentives

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KINGSTON, Jamaica, October 19th, 2016 – The House of Representatives, on Tuesday (October 18), passed the Income Tax (Amendment) Act, which seeks to continue the incentives provided under the Junior Stock Exchange. The benefits include a 10-year tax break, where no corporate tax is paid for the first five years and 50 per cent of the prevailing rate is paid in the next five years.  Companies also have access to capital as a result of preferential treatment from banks.

In closing the debate, Minister of State in the Ministry of Finance and the Public Service, Hon. Fayval Williams, said data has conclusively shown that the tax incentives have encouraged the growth of the junior market and created employment.  “The 29 companies listed on the junior market have raised over $5.73 billion. The market started with a capitalization of $521 million and it is now $96.2 billion. Over 1,000 new permanent jobs have been created at these companies, and that does not count the indirect jobs that were created,” she noted.

In addition, she said, some $4 billion in dividends were distributed and the number of strongly capitalized companies with robust taxpaying capabilities has increased.  Opposition Spokesperson on Finance, Dr. Peter Phillips, while welcoming the legislation, raised concern that companies were using the junior stock market as a means of avoiding taxes.  “What we are seeing is that… long-established and mature companies, some of them as old as 25 years old, have been made eligible to participate. These companies have, in some instances, spun off subsidiaries connected to these venerable parents in order to secure tax relief rather than because of any pressing need for new equity expansion,” he said.  “What we need to do with both the senior and junior exchanges is to design a mechanism that provides an incentive to the people who want to invest and become participants in the adventure of economic growth,” he argued.

In her response, Mrs. Williams said that strong penalties have been attached to the tax incentive scheme.  “The companies must stay listed, as any taxes foregone would be clawed back; and even after the incentive period ends, the company has to stay listed for at least five years, so they cannot leave after the incentive period without penalties,” she pointed out.

Mrs. Williams said the observation that the majority of companies have sought to raise minimum capital does not necessarily suggest tax avoidance.  “Consider that maybe it is not tax avoidance that causes companies to seek to raise minimum capital, but their assessment is that when they list on the stock market, chances are, the price for the equity at that point in time will be the lowest price that they will see.  And so you seek to minimize the percentage that you put on the market,” she argued.

The Junior Stock Exchange was launched on April 1, 2009 to encourage and promote investment in Jamaica’s entrepreneurship, employment and economic development.  It allows investors to put capital into legitimate small and medium-size enterprises, whose shares trade on a special Jamaica Stock Exchange platform.

 

 

 

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Agriculture Ministry Providing Two Water Trucks to Serve St. Elizabeth and St. Catherine

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#Kingston, Jamaica, April 24, 2024 – The Ministry of Agriculture, Fisheries and Mining is to unveil two more water trucks this week, which will be used to service communities in St. Elizabeth and St. Catherine.

Portfolio Minister, Hon. Floyd Green, made the disclosure during Wednesday’s (April 24) post-Cabinet press briefing at Jamaica House.

He also informed that of the $90 million earmarked to support farmers being impacted by the current drought, the Ministry will be providing additional support for storage and drip-irrigation systems.

“So, we have targeted about 600 water tanks and about 400 12-millimetre drip irrigation hoses, and that distribution has already started. Additionally, we have earmarked about $8 million to really help with our livestock farmers,” Mr. Green said.

“We know the difficulty that you’re facing now in this time; [it’s] very hard to get the right nutritional support for your animals. As such, we will be providing some hay, and we will [also] provide some trucking of water to you. Again, our livestock farmers, if you are in need, please contact the Rural Agricultural Development Authority (RADA) and let us see how we can help in these times,” he further stated.

Mr. Green also encouraged farmers to download the RADA App, so that the Agency can “help guide you, not only in relation to what is happening on the rainfall side, but also in relation to your integrated pest management”.

“We do see some increases of certain types of pests during this time, and it’s important that our farmers are paying attention to that. It’s also important that you’re taking drought management seriously [by undertaking] soil mulching, looking at planting drought-tolerant crops, timely harvesting, implementing land husbandry treatments and contour ditches,” he stated.

Contact: Latonya Linton

Release: JIS

 

Photo Caption: Minister of Agriculture, Fisheries and Mining, Hon. Floyd Green, speaking during Wednesday’s (April 24) post-Cabinet press briefing at Jamaica House.

 

Donald De La Haye Photo

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“Mad Max” Convicted of Murder

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#TurksandCaicos, April 23, 2024 – Blue Hills resident KENDALL RONDRE DEAN has been convicted of murdering JOSHUA SWANN.

Mr. Dean, also called “Maddie”, “Mad Max”, and “Dre”, was found guilty by a nine-member jury yesterday (April 22nd) in the Grand Turk Supreme Court.

Following the verdict, Mr. Dean was remanded to Her Majesty’s Prison, pending sentencing on 10th June 2024.

Based on the evidence presented, Mr. SWANN of Five Cays was shot multiple times about the body on Sunday, August 8th, 2021, while at North West Point, Providenciales.

Mr. Swann was transported to the Cheshire Hall Medical Center, where he succumbed to his injuries.

Detectives of the Serious Crimes Unit received a report, and following intensive investigations and interviews, Mr. Dean was arrested and subsequently charged.

Shortly after the verdict, Deputy Commissioner of Police Rodney Adams said, “This conviction demonstrates the RTCIPF’s commitment to bringing to justice those who cause the most harm throughout our communities using illegal firearms.

“This is an example of the effective coordination of the various units across the Force in supporting the lead detective in bringing about this conviction. The RTCIPF is grateful for the information provided by witnesses who came forward.

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Airports Authority aims for 24-hour airport and announces Scholarship programme

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Dana Malcolm 

Staff Writer

 

 

#TurksandCaicos, April 19, 2024 – In an attempt to move to 24-hour-a-day operations Turks and Caicos Islands Airports Authority (TCIAA) is steadily recruiting Air Traffic Controllers to work at the Providenciales/Howard Hamilton International Airport, according to Godfrey Smith, TCIAA CEO, reporting to the Appropriations Committee.

Speaking on April 8th Smith said a cabinet paper would be sent soon requesting six more Air Traffic Controllers to make round the clock operation at the Provo International possible and to open the airport in Grand Turk till 12 a.m.

Currently, 17 posts are filled and seven are vacant.

Smith was candid with his responses to recent industrial action from ATCs which led to resignations and firings.

“What we have to do is find systems to mitigate such actions and that has to start with filling these jobs, putting people in that want to work and doing right by people – and we always try to do right by our staff. Persons may not think that we are but we always do – we ain’t pick no fight,” he said in the meetings held at the NJS Francis building ahead of the National Budget Communication.

Smith indicated that recruitment was an issue across the board, ‘we need to find ways to recruit a little bit better’ he told the committee. Also in need of a push was capital spending or projects according to the CEO, who said the agency had ‘not been very good’ at meeting that mark but insisted they had recognized the issue and could do better.

A very important key performance indicator drawn up by the TCIAA is increasing passenger satisfaction at the Howard Hamilton International Airport. For the TCIAA part of this means a 30 percent increase in seating by Q2 of this year.

When queried on if they could even handle this increase the CEO said,

“The fact of the matter is we already have the capacity there. What we need is to make the service a bit better.”

Staff shortages have become such a frustrating issue that the TCIAA is instituting a scholarship program created by Authority Chairman, Selvyn Hawkins

“What the board wants to do is basically allocate $25,000 annually for a scholarship and they’ve approved it already.”

This process would cover tuition and all other costs for one student.

The student would return as a summer intern and other breaks to work at the TCIAA and upon graduation, assume a role at the company.

“We identify a particular skill we need, we go after it and we build capacity that is in a nutshell the nexus of the program,” Smith said.

The Turks and Caicos Islands Airports Authority (TCIAA) is allocated $49 million this financial year; over $20 million goes to salaries.

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