20/09/2022

Dr. Hussam Abu Ali, Director General of the ISTD said that the law amending for the Law General Sales No. (15) of  2022 did not include imposition of any tax on any  new good or service, and did not include any increase on taxes, and did not include cancel of any exemptions, stressing that the amending law did not any significant change of obligated taxpayers.

Abu Ali added during a seminar held by Amman chamber of commerce  for member of chambers and attended by  a number of auditors, experts and tax advisors that the amendment worked to treat distortions and tax element and reduce a tax evasion and avoidance by taking measure that enable the government to combat and treat them.

He said that the amended law came to fill the loopholes that used from some taxpayers as the law includes structural reform to treat loopholes and distortions that enable some to tax evasion .

He clarified that the risks and effects of the tax avoidance is not only negatively confined to the treasury, it also affects the taxpayer, the obligated manufacturer, and he talked about the positive effects of the amendments that took place in the law on the treasury and on the economic sectors that are tax-compliant, because the existence of legislative loopholes enables some to use them to compete with a committed taxpayer, thus becoming a committed taxpayer in Unequal competition by the taxpayer by not paying the tax while he is paying the tax.

Abu Ali pointed out that "the amendments came in line with international practices with regard to the concept of subjecting sales tax to goods and services by approving the principle of supply, where the rule of imposing the tax was amended, not its entitlement or payment. With an operation instead of making a sale, he makes a process of acting as an owner.

Abu Ali said that the amendments that were made are reform amendments that came in response to the demands of the private sector, especially the chambers of industry and commerce, where the issue of refunds was addressed, the period for their return was reduced, and the problem of delays in refunding sales tax was addressed so that its refund would be from the same tax that is collected instead of allocating allocations for it. As well as achieving tax justice between taxpayers and abolishing the issue of civil compensation in the event the taxpayer resorts to the judiciary in cases not related to tax avoidance.

For his part, Amman Chamber of Commerce treasurer and board member Khattab Al-Banna, who moderated the dialogue, stressed the importance of the partnership between the tax department and the commercial sector, as it is a strategic partner for the government in achieving comprehensive economic development, pointing to the importance of consultative meetings and cooperation between the two parties.

He pointed out that the Chamber constantly opens the way for dialogue between officials and the private commercial sector to listen to the opinions and suggestions of actors, producers and drivers of the economy "the private sector".

He indicated that the aim of the meeting is to enable the attendees to see and understand the amendments that have occurred to the tax law and to listen to the opinion of members of the General Authority and experts and consultants working in the field of tax on any executive instructions that will be issued in the future on the law, and that the Amman Chamber of Commerce, in coordination with experts, submits any proposals to improve these Instructions are taken by the ISTD.

At the beginning of the meeting, Abu Ali thanked the president of the Amman Chamber of Commerce, Mr. Khalil Haj Tawfiq, and the members of the Chamber's board of directors for holding and organizing this consultative meeting. He also praised the cooperation and partnership with the Amman Chamber of Commerce in discussing everything related to tax legislation and preparing instructions and regulations before their issuance.