Jordan postpones discussion of income tax draft law amid protests

Source: Xinhua| 2018-06-03 01:27:56|Editor: Mu Xuequan
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AMMAN, June 2 (Xinhua) -- The Jordanian government and the Lower House on Saturday agreed to delay discussions about the income tax draft law, which angered Jordanians and triggered nationwide protests.

Lower House Speaker Atef Tarawnhe said the government and the Lower House agreed to hold an extraordinary session after Ramadan for discussing the law and any possible amendments to the bill.

At a meeting attended by Prime Minister Hani Mulki, the Lower House and representatives of the professional associations, Mulki said Jordan cannot withdraw the income tax draft law.

After the meeting, the associations decided to hold a strike next Wednesday, saying their main demand is that the government withdraws the law.

Protests intensified on Thursday and Friday after the government increased prices of fuel and electricity, which triggered Jordanians to protest in streets.

King Abdullah II of Jordan took a decision to freeze the hikes, but protests continued with participants demanding the withdrawal of the law, which the government said was part of a comprehensive economic and financial reform drive.

The law reflected policies to achieve self-reliance and build a strong economy, and is part of the reforms under a program between Jordan and the International Monetary Fund.

The bill mainly focuses on three aspects: improving tax collection, curbing tax evasion and boosting tax revenues, which are expected to increase by 300 million dinars (423.1 million U.S. dollars) annually.

The proposed law seeks to increase the rate of income tax payers from 4.5 percent currently to 10 percent.

The legislation has been resisted by sectors including professional associations and investors.

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