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Tax exemption for online purchases from abroad expanded

By JT - Mar 03,2021 - Last updated at Mar 03,2021

AMMAN — The ceiling of the exemption from customs duty on items and goods bought online from outside the Kingdom and intended for personal use has been doubled from JD100 to JD200. 

For packages below this threshold, a fixed 10 per cent fee will now be imposed. 

 According to a decision announced Wednesday by Minister of Finance Mohamad Al-Ississ, the move aims to facilitate e-commerce, support the logistics sector and e-traders and speed up clearance procedures, the Jordan News Agency, Petra, reported. 

The decision, which has already come into effect, also cancels a pervious arrangement that sets an annual ceiling for individual purchases from abroad. 

Additionally, no taxes or fees will be collected on the packages except for the 10-per cent fixed rate. 

Previously, a JD5 fee was collected on packages of less than JD50 in value, and a JD10 fee on those less than JD100. 

According to the previous arrangement, if the package was valued at more than JD100, it would be subject to a customs duty appraisal. 

Al-Ississ stressed that the ministry is undertaking a comprehensive review of the customs system to achieve the desired goals of facilitating business and serving the national economy, Petra reported. 

The Customs Department has introduced a risk assessment methodology, which will reduce the number of parcels that are subject to opening and manual inspection by the department. 

This decision applies to all online purchases from overseas that are intended for personal use, excluding tobacco and its derivatives, including cigarettes, cigars, electronic cigarettes, and their supplies and components. Other excluded items include alcoholic beverages and goods received in commercial quantities.

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