Jamaicans will be able to keep a little more money in their pockets in the New Year.
This as effective January 1, the government will raise the income tax threshold to $557,232.
All earnings above the threshold will continue to be taxed at a rate of 25%.
According to Tax Administration Jamaica, the increase in the income tax threshold will save the average Jamaican nearly $12,500 a year.
Self-Employed individuals are being advised that the new threshold is to be used to file their estimated income tax return for the 2015 year of assessment, due March 15.
In addition to the threshold, pensioners and persons sixty-five and over are also entitled to a pension exemption of 80-thousand dollars, and an age exemption of $80,000 respectively.
The adjustment in the threshold is part of the Government’s revenue measures tabled in parliament during the 2014/2015 budget presentation.
–30–
