Gov’t Pledges to Expand Taxable Demographic Base

تم نشره في Thu 7 September / Sep 2017. 12:00 AM
  • Ministry of Finance, Income and Sales Tax Department - (Archives)

AMMAN —AlGhad— The government sent a Letter of Intent to Christine Lagarde, managing director of the International Monetary Fund (IMF) back in June, pledging to expand the taxable demographic base in the upcoming income tax amendments.

According to the document, the taxable income base will be expanded to include individuals and households earning JOD6,000 and JOD12,000 annually, respectively.

The letter of which AlGhad has acquired a copy, was signed by both the Minister of Finance, Omar Malhas, and Central Bank Governor, Dr Ziad Freiz.

Apparently, the government’s pledge is to raise income tax ceilings to 24 per cent for individuals and 35 per cent for businesses, including banks.

Moreover, the letter says that the government is planning to refer a draught of the Bill of Amendments to Parliament by the end of September, 2017.

In the meantime, the government would have concluded preparations for the 2018 Budget Bill and should be ready to refer a draught of it as well to Parliament for review by October.

Meanwhile, the government has requested of the IMF to provide further support in the endeavour of acquiring the aids promised by international donors.

The International Community has yet to fulfil its commitments towards the Syrian refugee crisis in Jordan, the letter underlines, let alone the strains endured by local communities.

Hence, the government has called upon the IMF to push for the fulfilment of the outcomes of the Brussels Donors Conference, back in April.

The full text of the letter was published in Arabic by AlGhad: