News

US Virgin Islands, Puerto Rico Delegates Seek to Extend Rum Cover Over

By: Caribbean Journal Staff - April 19, 2012

Above: USVI Delegate Donna Christesen and Puerto Rico Resident Commissioner Pedro Pierluisi

By the Caribbean Journal staff

US Virgin Islands Delegate to Congress Donna Christensen has introduced legislation to extend the rum cover over for two years from $10.50 per proof gallon to $13.25.

Christensen was joined by Puerto Rico Resident Commissioner Pedro Pierluisi as a co-sponsor of the bill.

The so-called “rum cover over” means that any excise tax collected on rum imported into the US is transferred or “covered-over” to the US Virgin Islands’ and Puerto Rico’s treasuries.

“Both the Resident Commissioner and I understand the importance of communicating to the Congress that the rum cover over is important to the economies of our territories,” Christensen said. “Despite our differences on other issues related to the cover-over, we stand together as the programmes undergo review before the Ways and Means Committee and re-authorization makes its way through the Congress this year.”

According to the government, the rum cover over has yielded approximately $100 million each year to the Virgin Islands treasury.

That number is expected to rise with increased production from the Cruzan plant and the new Diageo plant, which began production this year.

Proceeds from the cover over are generally used to back bonds for capital improvement projects.

Popular Posts cape santa maria

The Best Caribbean Beach Resort You’ve Never Heard of 

There’s a boat just offshore called “Escape.”  It’s bobbing in some of the most brilliant, dynamic turquoise water I’ve ever seen, a few meters from a stretch of sand so bright and so white you have to squint to look […]


Marriott Is Opening Its New St Regis Resort In Aruba 

aruba st regis inside the restaurant with chairs

It was more than a decade ago that Marriott opened its first-ever Ritz-Carlton resort in the Dutch Caribbean: the Ritz-Carlton, Aruba, which at the time was the island’s first true five-star resort.  Fast forward to 2024, and Marriott is set […]


From All-Inclusive Resorts to Beaches, Travelers Are Falling in Love With Antigua and Barbuda

antigua barbuda frontier airlines the peninsula with sand

The plunge-pool villas at Hammock Cove. The historic streets of Nelson’s Dockyard. Pool days at Sheer Rocks. Unforgettable honeymoons. Vibrant meals of pepperpot and fungee. Beach bar hopping on the south coast. Endless serenity in Barbuda.  Travelers keep flocking to […]


Related Posts st thomas best resort

The Best Resort in St Thomas, USVI, According to Travel Agents 

There’s something for everyone in the US Virgin Islands, from historic boutique hotels to large beach resorts.  When it comes to the USVI’s most-visited destination, St Thomas, there’s one clear leader, according to travel agents.  Many advisors that were unofficially […]


Marriott Just Opened a New Hotel in Old San Juan, Puerto Rico

rooftop pool with views of old san juan puerto rico

If you’ve been to Old San Juan, Puerto Rico, you know the vibe: the pastel-hued Spanish colonial buildings; the sound of salsa permeating every corner; the refreshing cool of a freshly-made Mojito.  There’s a reason, after all, why Old San […]


San Juan’s La Concha Resort Continues Renovation With New Oceanfront Spa 

Puerto Rico Marriott Hotel

The La Concha resort in San Juan has unveiled a new oceanfront spa, as part of a broader renovation project ongoing at the property, Caribbean Travel Advisor has learned.  The new “wellness destination” has a total of seven treatment rooms, […]


SUBSCRIBE!

Sign up for Caribbean Journal's free newsletter for a daily dose of beaches, hotels, rum and the best Caribbean travel information on the net.


No. Thank You