TaxoraNHT and NIS are two mandatory statutory contributions that every working Jamaican must pay. Whether you're employed or self-employed, understanding these obligations is essential for accurate tax filing.
National Insurance Scheme (NIS)
NIS provides social security benefits including pensions, injury benefits, and grants. The current rates are:
- Employed: 3% employee + 3% employer = 6% total
- Self-employed: 6% (you pay the full amount)
- Annual ceiling: J$5,000,000 — contributions are capped at this income level
For self-employed persons, NIS contributions are deducted from your gross income before computing your statutory income on the S04. This directly reduces your tax base.
National Housing Trust (NHT)
NHT funds housing development in Jamaica. It's a separate contribution with no income ceiling:
- Employed: 2% employee + 3% employer = 5% total
- Self-employed: 3% of assessable income
Unlike NIS, NHT has no annual ceiling, so it applies to your full assessable income regardless of how much you earn.
NHT Refunds
After contributing to NHT for 7 years, you become eligible for a refund of your contributions (without interest). You can apply through the NHT portal or visit a local office. Many Jamaicans are unaware of this benefit.
How These Appear on Your S04
On the S04 form, NIS appears in the deductions section (reducing your assessable income), while NHT is computed on Schedule A as a separate tax liability. Both are included in your quarterly S04A estimates.
Taxora's Approach
Taxora automatically computes both NIS and NHT contributions, applies the correct ceilings, and includes them in your S04, S04A, and payroll forms (S01/S02). No manual calculation needed.