Jordan Cabinet Extends Vehicle Licensing Exemption and Approves Economic Measures

The Jordanian Cabinet extended the vehicle licensing exemption for unlicensed vehicles until January 30, 2025. This applies to vehicles unlicensed for over a year as well. Amendments were made to investment incentives for small and medium-sized enterprises, removing the previous JD 15 million investment requirement. The Cabinet also endorsed economic growth strategies, including resolving cases between companies and the tax department, allocating land for agriculture, and renewing international grants.

On December 24, 2024, the Cabinet of Jordan, during a session chaired by Prime Minister Jafar Hassan, decided to extend the exemption of fees for unlicensed vehicles until January 30. This extension applies to vehicles that have remained unlicensed for over a year, allowing owners to waive previous acquisition and re-registration costs until the same deadline. This initiative aims to assist vehicle owners in regularizing their status, enhancing road safety, and simplifying licensing procedures for long-unlicensed vehicles.

Additionally, the Cabinet approved policy amendments providing investment incentives to small and medium-sized industrial projects in Karak. The prior threshold requiring a JD 15 million investment was abolished, enabling projects that demonstrate at least 40 percent local value addition and employ a minimum of 150 Jordanian workers—70 percent of whom must reside in the governorate—to qualify for reduced electricity, water costs, and labor subsidies, irrespective of investment amount.

To promote economic growth, recommendations from the settlement committee on resolving pending matters between 270 companies and the Income and Sales Tax Department were also endorsed. This initiative aims to enhance tax compliance and aligns with the government’s Economic Modernization Vision. Furthermore, the Cabinet sanctioned a plan by the Jordan Valley Authority to allocate 3,024 dunums of land for cultivation projects and renewed the free zone license for the Jordan Duty-Free Company at Marka Civil Airport until April 30, 2025. Lastly, a 200,000 euro grant from the Spanish government was approved to support modernizing the National Centre for Human Rights in Jordan.

The article details recent economic decisions made by the Jordanian Cabinet, highlighting measures intended to enhance vehicle registration compliance and stimulate economic growth through investment incentives. The decisions reflect governmental efforts to facilitate the regularization of vehicle licensing and encourage small and medium-sized enterprise development in Jordan. These initiatives are part of a broader strategy to foster economic modernization and improve tax compliance within the country.

In conclusion, the Cabinet’s recent resolutions signify a commitment to enhancing vehicle licensing compliance while also bolstering economic growth through revised investment incentives for small and medium enterprises. By extending vehicle licensing exemptions and simplifying requirements for industrial projects, the government aims to improve fiscal adherence and support local employment. Additionally, strategic land allocations and international cooperation initiatives further reflect a holistic approach to economic development in Jordan.

Original Source: jordantimes.com