The government has followed up on its decision to reduce taxes on gasoline vehicles while raising them for higher-end electric cars.

 

Government spokesperson Muhannad Al-Mubaidyeen, during a press conference, stated that the tax cut on gasoline vehicles and the increase for more expensive electric cars aims to address an economic imbalance.

 

He noted that electric vehicles priced under 10,000 Jordanian dinars before customs duties will not be subject to the tax hike.

 

Additionally, the special tax on gasoline vehicles has been reduced from 67 percent to 60 percent, now matching the rate for hybrid vehicles.

 

Earlier, the Cabinet approved amendments to the 2024 special tax law, reducing taxes on gasoline vehicles while imposing higher taxes on pricier electric cars.

 

The adjustments aim to narrow the gap between the taxes imposed on electric and other vehicles, while keeping the tax on electric cars lower than that on other alternatives.