Government Panel Outlines New Economic Measures

Source: The Jordan Times

AMMAN — The government announced on Monday during a panel discussion held at the Royal Cultural Centre in Amman that taxes on electric vehicles have been lowered, management spending and purchasing will be unified on a single online platform and bureaucracy will be reduced.

The panel discussion, following Prime Minister Omar Razzaz's opening remarks, saw the participation of Finance Minister Mohamad Al-Ississ, Secretary General of the Prime Ministry Sami Dawood, Minister of State for Institutional Performance Development Yasera Ghosheh, General Director of the General Supplies Department Nizar Mhaidat and President of the Legislation and Opinion Bureau Fida Hamoud.

Taxes on vehicles

During the panel, Al-Ississ announced that the government has lowered taxes on electric vehicles from 25 per cent to 10 per cent for vehicles with a motor capacity of up to 250 kilowatts and 15 per cent for vehicles with a motor capacity of 251 kilowatts and above.

As for the weight tax, Al-Ississ noted that it was previously based on the vehicle's weight alone, which was "unjust", as someone buying an old model would have to pay the same taxes as someone buying a new model with the same weight.

Thus, the government abolished the weight tax and replaced it with a separate 4 per cent tax imposed on the original total value of the vehicle.

"This will reduce the financial burden imposed by the weight tax, but more importantly, it will make a distinction between luxury vehicles and regular ones," the minister noted.

The minister also announced that consumption rates that were changed in 2017 will be brought back to their original levels as well, noting that this was one of the sector's main demands.

Government budget

For his part, Mhaidat announced the launch of a new public sector purchasing system that replaces 56 systems.

He also announced the merging of the unified purchases and general supplies departments into one department titled "Government Purchases Department".

Mhaidat said that his department is working on a project that aims at controlling spending, noting that under this project, each government department will have to determine its annual needs at the beginning of the year, which will then be announced online for transparency in order to calculate these needs from the general budget.


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