In supporting the development of tourism in Trinidad and Tobago, the Government of the Republic of Trinidad and Tobago introduced the Tourism Development Act, Chapter 87:22 (TDA), which provides for a number of attractive tourism development incentives to investors, owners and operators of approved tourism projects in Trinidad and Tobago. These include:
- Tax Benefits – This includes Tax Holidays (up to 7 years); Corporation Tax Exemptions (on gains and profits); Accelerated Depreciation (plant and equipment); Capital Allowances; and a variety of other concessions to approved tourism projects.
- Custom and Excise Duty Benefits – This involves the exemption of Custom and Excise Duty on the imports of materials and equipment used in approved tourism projects, as well as custom duty at a reduced rate of 10% on all vehicles imported for used within approved tourism projects.
- Motor Vehicles Tax Benefits – This relates to the Exemption of Motor Vehicle Tax on the importation of vehicles used in approved tourism projects.
There are four (4) categories of tourism activities identified by the Act, which qualify for development incentives towards stimulating investment in the tourism sector. These are:
- Tourism Accommodation Projects
- Ancillary Tourism Facilities
- Tourism Infrastructure
- Other Tourism Projects
The Ministry of Tourism has also recently launch two (2) additional development incentive programmes which include:
- Tourism Accommodation Upgrade Programme
- Government Loan Guarantee Programme
*Specific tourism niches have been identified for development, with Trinidad focusing on business and cultural tourism, and Tobago focusing on leisure and ecotourism.