Al-Jaghbir: The Two Chambers of The Amman and Jordan Industry Value The Decision to Cancel the Preferential Treatment on Imported Goods

20-May-2019

Abu Ali: Reducing the "milk production inputs" leads to lower costs and allow tax deduction 

The Jordan and Amman Chambers of Industry valued the government's decision to abolish preferential treatment for imported goods, citing recent tax measures to protect the Jordanian industrial sector. 

The meeting was attended by the head of the Jordanian and Amman Chambers of Industry Fathi al-Jaghbir, attended by a number of industrialists and dairy producers and members of the Amman Chamber of Industry on Saturday. 

The Director General of Income and Sales Tax Department Hassam Abu Ali said that the government has taken several decisions in favour of the industrial sector and protect the national product and local industry and support through the decision of the Council of Ministers, which abolished the preferential treatment of imported goods at the expense of locally manufactured goods and stop the postponement of tax on goods imported from abroad, In promoting the demand for locally manufactured goods. 

Abu Ali stressed that the treatment of the tax distortion on the output inputs and the final output! Will serve the industrialists of Jordan and meet their demands. 

In response to a query on the expected impact of the tax cut on milk production inputs, Abu Ali said that reducing the tax on milk production inputs and imposing a 4 percent tax would reduce the production costs in the sector, in addition to allowing tax deductions to be paid. 

For his part, Eng. Al-Jaghbir stressed the importance of the decision of the Council of Ministers regarding the abolition of the preferential treatment of imported goods and the adoption of a number of resolutions and procedures that promote the national industry and serve the members of the chambers of industry of Jordan and Amman and the Jordanian consumer. 

He praised the great response shown by the Income and Sales Tax Department to the demands of the members of the Jordan and Amman Chambers by studying these demands and solving the problems facing them to serve the Jordanian industry. 

Al-Jaghbir considered that the decision of the Council of Ministers to reduce the tax on industrial production inputs in addition to addressing the imbalance in the tax rates on the inputs of the national industry and its outputs is a step in the right direction. 

He added that this decision comes on the basis of intensive follow-up from the Amman and Jordan chambers of commerce, the efforts of the Ministry of Industry, Trade and Supply, the Customs Department and the Income and Sales Tax Department, which resulted in the issuance of this decision, which is in the interest of the national economy. 

He pointed out that the decision to ensure that the postponement of the payment of sales tax on imports from production inputs that have a substitute for local industries, as well as addressing the imbalance in taxes between the tax rates on the inputs of national industry and output, in addition to reducing the tax on inputs of milk production of boxes and cans and cages of 16 percent to 10 percent, calling for reconsideration of the special clause in this resolution, which includes subjecting milk and fresh milk to a 4 percent tax rate instead of exemption for all sizes of packages. 

With regard to oils, the government's decision to reduce the tax on bottles and bottles used to fill oils from a tax rate of 16 percent to a tax rate of 4 percent. 

The fertilizer and pesticide industry has reduced the tax on fertilizer and pesticide production inputs, which are 16 percent to zero, since fertilizer and sales are zero. 

He stressed that the decision should include all production inputs that exceed the tax imposed on them imposed on the final output, such as food containers, which are subject to a tax rate of 4 percent, while the inputs of production of metal cans to 16 percent. 

Al-Jaghbair stressed that the decision refers to the government's recognition of the importance of supporting the competitiveness of the national industry in the local market and export markets, as well as recognition of the important role it plays in supporting the national economy and the employment of Jordanian labor. He praised the directives of Prime Minister Dr. Omar Al- Tax deferral of imported goods that have a similar local alternative to quality and price, similar to the study of production inputs. 

"The decision also confirms the government's efforts to support the national industry, especially in light of the current conditions experienced by the Jordanian industry and the decline of national exports to a number of traditional markets, and the consequent heavy losses suffered by the industrial sector. 

The representatives of the industrial sectors expressed their appreciation for the measures taken by the Government towards the industrial sector to benefit and benefit consumers. 

It was agreed during the meeting to hold periodic meetings to discuss matters of interest to the industrial sector in the field of income tax and sales.









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