Under the law, if you are between the ages of 18 and 70 and earning at least the minimum wage, you must contribute to the NHT. This law is the same for everyone, whether you work for someone else or you are self-employed.
Should you be making Self Employed Contributions?
You should be making self-employed contributions to the NHT if:
- You are working for yourself.
- You work for someone else and you are already contributing to the NHT, but you also earn extra money by doing private jobs.
- You work as a private contractor (meaning that you are employed under a contract for service which requires that you use your own tools and other resources to do the job).
- You are the director of a company and you are paid director’s fees.
- You are employed through the Ministry of Labour’s overseas employment programme (farm work or hotel employment).
- You are a domestic worker.
- You are a Jamaican citizen employed to an embassy, agency of the United Nations, high commission or consulate in Jamaica.
How to Register as a Self Employed Contributor
Registering as an NHT self-employed contributor now requires that you first register as a taxpayer with Tax Administration Jamaica (TAJ). Register as follows:
- Create an account at www.jamaicatax.gov.jm to access Tax Administration Jamaica online services.
- Go to FORMS and download the S04 & S04A forms
- Complete the forms and submit them at any Tax Office islandwide.
Your registration with TAJ will enable you to pay taxes and other contributions. After you register with TAJ, the NHT will automatically register you as an NHT self-employed contributor.
Benefits of Contributing
Generally, after contributing for 52 weeks, you may apply to the NHT for a low interest rate loan to build, buy or repair a house or to buy land for building a house. The sum you are allowed to borrow will depend on your age, your ability to repay the loan and the purpose for which you are borrowing the money.
After you have contributed for seven years the NHT will begin to refund your contribution, with interest. Collecting your refund will not affect your chances of getting a loan.
Self- employed persons who employ other people and who file and pay their NHT and NIS contributions, Income Tax and Education Tax on time, may claim an Employment Tax Credit of up to 30% of their trader’s income at the end of the year.