Government Approves New CBC Fees and Penalties
The Ministry of District Administration and Home Affairs (MDAHA), in conjunction with the Customs and Border Control Department (CBC), is advising the public that the Government has approved the enactment of legislative updates that were passed by the Parliament and assented to by Her Excellency the Governor in February of this year. The related changes will come into effect on 1 October 2025, through the Customs and Border Control (Amendment) Act, 2025 (Commencement) Order, 2025.
The legislative package includes the Customs Tariff (Amendment of Schedules) Order, 2025 and the Customs and Border Control (Visas, Entry and Landing) (Amendment) Regulations, 2025.
The new policy measures are intended to strengthen the Islands national resilience in response to evolving operational demands, and form part of the Government’s strategy to modernise outdated administrative fees and enforcement penalties.
The Honourable Minister for District Administration and Home Affairs, Nickolas DaCosta, JP, MP, stated, “These measures strike a balance between welcoming legitimate visitors, and workers while ensuring that the costs of administering border management services are fairly shared and Cayman’s borders remain secure. The policy updates were not designed to restrict opportunity, but rather to protect the sustainability, fairness, and credibility of the border control systems that underpin our economic prosperity, social cohesion, and national security.”
Updates under the Customs Tariff (Amendment of Schedules) Order, 2025 introduces revised environmental taxes on all imported vehicles, regardless of whether they are gas-powered, hybrid, or electric, as follows:
- CI$1,000 for any vehicle with a cost, insurance, and freight (CIF) value of CI$79,999 or less (previous fee was CI$1,000 for vehicles valued at CI$12,000 or less.)
- CI$2,000 for any vehicle with a CIF value of CI$80,000 or more (previous fee was CI$0.00)
- Unless otherwise specified, application fees prescribed under the Act are non-refundable.
As an important transitional measure, vehicles that have already begun the importation process prior to 1 October 2025 will be exempted from the newly increased environmental tax only, provided that the necessary evidence is submitted to CBC. Vehicles purchased or under a purchase agreement before 1 October 2025 for import into the Cayman Islands, but not yet arrived by that date, will be subject to the previous environmental tax rates, as if the new amendment had not yet taken effect.
The public is encouraged to review the attachments provided with this release, including the Customs Tariff (Amendment of Schedules) Order, 2025 which sets out new import duty rates applicable to Hybrid and Electric Motor Vehicles.
Additionally, updates under the Customs and Border Control (Visas, Entry and Landing) (Amendment) Regulations, 2025, provide clarification to the Visitor’s Work Visa (VWV) process. The change removes the word “renewed”, confirming that the Director of CBC may grant or extend a VWV in accordance with existing policy and discretion, but not renew a VWV.
The table below outlines the new measures on summary of fees and penalties, which relate to:
- Reporting requirements for non-Caymanian children born in the Islands, in which parents must report the birth to CBC within three months
- Overstaying, in which administrative fines may be levied on individuals, employers, or those who knowingly assist or cause a person to overstay
- Transporting passengers or crew without valid entry documents or attempting to present false documents, in which administrative fines may be imposed on masters or captains of vessels
|
Service / Offence |
New Fee / Penalty |
Legislative Reference |
|
Import duty – Environmental tax on vehicles CIF ≤ CI$79,999 |
New Fee: CI$1,000 on vehicles less than or equal to CI$79,999 |
Customs Tariff (Amendment of Schedules) Order, 2025 |
|
Import duty – Environmental tax on vehicles CIF ≥ CI$80,000 |
New Fee: CI$2,000 on vehicles CIF greater than or equal to CI$80,000 |
Customs Tariff (Amendment of Schedules) Order, 2025 |
|
Offences: |
||
|
Overstaying – individual (up to 60 days) |
New Penalty: CI$500 on first offence; CI$1,000 on subsequent |
Schedule 1, Item 4 – CBC (Amendment) Act 2025 |
|
Overstaying – natural person other than employer (assisting) |
New Penalty: CI$500 on first offence; CI$1,000 on subsequent |
Schedule 1, Item 5 – CBC (Amendment) Act 2025 |
|
Overstaying – natural person who is an employer (assisting) |
New Penalty: CI$1,000 on first offence; CI$2,000 on subsequent |
Schedule 1, Item 6 – CBC (Amendment) Act 2025 |
|
Overstaying – legal person (assisting) |
New Penalty: CI$2,500 on first offence; CI$5,000 on subsequent |
Schedule 1, Item 7 – CBC (Amendment) Act 2025 |
|
Failure by masters/captains to transport passengers/crew with valid entry documents |
New Penalty: CI$5,000 per passenger/crew member |
Schedule 1, Item 2 – CBC (Amendment) Act 2025 |
|
Failure by parents to report birth of non-Caymanian child to CBC within 3 months |
New Penalty: Tiered Fines: |
Schedule 1, Item 3 – CBC (Amendment) Act 2025 |
Director of CBC, Bruce D. Smith, commented, “We remain committed to providing courteous and professional services while enforcing the new measures. As the agency responsible for administering these changes, the CBC has taken steps to ensure a smooth transition for the public. Our officers and customer service representatives are fully briefed and if members of the public have questions, they may contact our Customer Support Centre at 649-4579 (press 0 for options)”.
The Ministry and CBC remain committed to keeping the public informed. To learn more about the Customs & Border Control Department, please go to https://www.gov.ky/cbc/.
To stay connected with the Ministry of District Administration & Home Affairs, follow us on social media @mdahacayman or by visiting our website at https://www.gov.ky/mha/.
