Dr. Hussam Abu Ali, DG of the Income & Sales Tax Department (ISTD), said that the national e-invoicing system is a reform national system that does not aim at imposing any type of taxes or increasing it; this system came specially for extracting the invoice data and archiving it electronically without imposing any costs or financial or additional burdens on those obligated to use it.

During his meeting with the president of Petra University Dr. Rami Abdel Raheem and The University of Petra Club board of directors members within the ceremonies of the Cultural Petra Salon Abu Ali added: Income & Sales Tax Department launched the national e-invoicing system on 2022. This system is considered as a qualitative leap in the tax reforms that are implemented in the kingdom which does not impose any costs or financial or additional burdens on those obligated to use it. Adding to that, the registration procedures in this system were easy and simple and will have a role into facilitation on the taxpayers and will decrease the human intervention and make the procedures of auditing taxpayers’ files easy and accelerate their tax transactions and getting their Tax Clearance.

Abu Ali clarified that the regulation was issued pursuant to the Income Tax Law No. 38 of 2018 in accordance with provisions of paragraph (F) of article (2) that required commitment of issuing an original e-invoice in exchange of supplying any service for alternative or the sale of any good in the kingdom And organizing all the affairs related to invoicing systems, issuance, and control and the categories excluded therein in accordance to this regulation pursuant to provisions of article (16) of the regulation for organizing and controlling invoicing affairs No. (34) of 2019 , executive instructions for organizing and controlling invoicing affairs No. (1) of 2019.

He also said that the e-invoicing is available on the department website which enables taxpayers in issuing invoices through it if they do not have invoices system or direct connection with the department if they have invoices system.

And according to the amended regulation for organizing and controlling invoicing affairs No. (13) of 2023, those who are obligated with the regulation of companies, establishments, professionals, services providers, and craftsmen who implement the invoicing regulation are obligated to issue the invoice electronically via the system and are not obliged to keep paper copies of the invoices.

Abu Ali clarified that in the near future, no tax expense will be accepted unless assorted with an invoice by the national e-invoicing system.

And he declared that until end of last May, registrants of the national e-invoicing system are almost 90 thousand taxpayer which exceeds (85%) of total sales in the kingdom.

He said that the department launched Fawateery program that aims into spreading the culture of requesting invoices, encouraging taxpayers who are obligated for issuing an invoice, stressing the importance of invoice for purchasers and service receivers, spreading the Invoicing regulations and instructions, and achieving tax justice. He explained some fundamentals and measures of granting incentives and awards on invoices in the Jordanian tax system and said that the department made awards withdraws giveaways for those committed to collect invoices and uploading them on the application.

Dr Abu Ali said that ISTD expanded the provision of taxpayers’ services electronically; it provided all the taxpayers services online without having to visit the department from its plan to improve the taxpayers and main partner’s services with the department. ISTD e-services reached (65) e-service inclusive all the basic tax services in order to enable the taxpayers and their representatives and the visitors to complete their transactions with ISTD without having to visit the department in person.

He declared that the number of getting ISTD e-services during 2023 was about 1,670 million services in which the number of tax returns submitted electronically during the legal period this year was 450 thousand tax returns.

Abu Ali said that ISTD achieved the transformation into a digital department through adopting a package of projects, providing the tax services electronically, linking the department with the relevant departments and entities, using e-audit via AI, using the electronic digital control over factories, the reliance of e-invoice via the national e-invoicing system, adopting an electronic platform for the registration from outside the kingdom, establishing a specialized services center to respond to inquiries and questions, and promoting the culture of requesting an invoice via Fawateery application.

ISTD DG said that amending the proof burden to be held by the auditor instead the taxpayer demanded a necessity of providing data and information for the auditors through e-linking, as the ISTD is electronically linked with the following entities:

Ministry of Justice, Ministry of Industry and Trade, Companies Control Department, Social Security Corporation, Lands and Survey department, Drivers and Vehicles Licensing Department, the Securities Commission, he Jordanian Customs Department, Private Hospitals, the free Zones Company, Greater Amman Municipality, Investment Authority, and securities depository centers.

Abu Ali pointed that ISTD finished designing an electronic program for the implementation of the digital control on cigarettes production factories after proceeding the necessary legislative amendments related to the direct control instructions, which enabled us to combat tax evasion and quickly discover it.

The project is summarized into the implementation of digital infrastructure and control procedures for the management and operation within the production sites (cigarettes production factories) via integrated control software for the authentication of the cigarettes production process starting from the cigarettes production process ending with tracking it in the markets by fixing unique estamps over all the products for decreasing the traditional direct control in the factories.

ISTD finished the implementation of the digital control on all cigarettes factories and in accordance with the instructions; cigarettes production is not allowed unless there’s an electronic digital control and the unique stamp is fixed on each box of cigarettes.

Abu Ali declared that the department designed a system for auditing tax returns electronically through using AI. This system is based on risk management in the audit of information and data incoming to the department and compares it with the data and information that are provided in the returns in accordance with risk management measures dedicated for that and this system is implemented into 2 phases:

-(Phase one is e-audit of the companies and establishments files) income and sales. -(Phase two is e-audit on employees files) income.

He pointed that ISTD launched a platform for registering non-resident regional and international companies, those who work in e-commerce and provide e-services for residents on the Jordanian territories considering it as an imported service for residents in Jordan, in the general sales tax network

ISTD invited the regional and international companies that supplies e-services to Jordan, from those who don’t have branches in Jordan, to register with the General Sales Tax network via this platform since this registration will facilitate providing these services in accordance with the effective provisions of tax legislations in the kingdom that reflects into a positive way on the receivers of services who resides in the kingdom and accelerate their financial clearance and voluntary compliance

At the beginning of the literature, the university president welcomed the ISTD DG Dr. Hussam Abu Ali for discussing the improvements witnessed by the ISTD and the transformation into a digital department and the discussion with the professors and club members.

Abu Ali replied at the end of the literature to all of the university professors and students’ questions and inquiries.