Jordan to reduce special tax on electric vehicles by 50 percent


(MENAFN) The Jordanian Council of Ministers, led by Prime Minister Dr. Jaafar Hassan, made a decision on Saturday to reduce the special tax on electric vehicles. Specifically, cars designed to run entirely on electricity with a customs value between 10,000 and 25,000 dinars will now be subject to a 20 percent tax, instead of the previous 40 percent. This is a 50 percent reduction in the special tax rate for these vehicles.

For electric cars with a customs value exceeding 25,000 dinars, the special tax has also been halved, from 55 percent to 27.5 percent. This change applies to all fully electric cars, including those that are stored in the Bond or in free zones within the Kingdom before the decision was issued.

Additionally, for those who cleared their electric vehicles between the issuance of the amended special tax system (No. 62 of 2024) and the date of this new decision, the government will refund the difference in the special tax that was paid under the previous rate, according to Al-Ghad newspaper.

This decision, which will remain in effect until December 31, 2024, follows an evaluation conducted by the government over the course of nearly two months. The assessment, which took into account feedback from specialists and stakeholders, revealed that many concerns were focused on vehicles in free zones that had already entered the Kingdom before the new tax rates were implemented.

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