Tax relief for gasoline cars, hikes on electric vehicles and tobacco in new reforms

The Cabinet has approved amendments to the 2024 Special Tax Law, which include a reduction in special taxes on gasoline vehicles and a progressive increase for higher-priced Electric Vehicles (EV).

The amendments aim to reduce the tax gap between electric vehicles and other types of vehicles, while maintaining lower taxes on electric vehicles compared to other alternatives.

Additionally, the law revises taxes on tobacco products in line with the national strategy to combat all forms of smoking. The goal is to curb the rising use of electronic smoking devices, particularly among children, and to address the significant tax differences between traditional cigarettes and their alternatives – according to the Jordan News Agency (Petra).