I am a proud paid subscriber to the government’s newspaper Al Rai.
And one of the the main reason I subscribe to it is to be close to the megaphone 📢
Apparently, there are “leaked” sources that say that tax revenue is lower by 400 million JODs for the first half of this year compared to 2023. Both columnists are blaming the declining government income on the war in Gaza.
I’m sorry! This is incorrect. I wrote back in November (and there was a reason I didn’t mention the war) that the budget was over optimistic and warned that there will be a shortfall in income tax alone (WITHOUT any spillover from Gaza and some bordering countries’ beggar-thy-neighbour policies).
I estimated a shortfall of 70 mil JODs in income tax for the top companies; turns out it is worse: 120 mil JODs.
And what about the remaining 280 mil JODs? Fuel tax remained relatively the same. I’m guessing probably lower sales tax on goods and services (due to the boycott? and/or lower purchasing power? Fewer tourists? Bad implementation of Fawtara system?). This is just a guess as the Ministry of Finance is late in publishing its monthly report so no one knows for sure.
Only thing I wished is that they didn’t include parking fines and speeding tickets in the General Amnesty. That was a good source of income for the government and a much needed lesson to bad drivers in the country.
We’re still half way through the year and they still have time to sort things out.
No More Excuses!
No More Excuses!
No More Excuses!
I am a proud paid subscriber to the government’s newspaper Al Rai.
And one of the the main reason I subscribe to it is to be close to the megaphone 📢
Apparently, there are “leaked” sources that say that tax revenue is lower by 400 million JODs for the first half of this year compared to 2023. Both columnists are blaming the declining government income on the war in Gaza.
I’m sorry! This is incorrect. I wrote back in November (and there was a reason I didn’t mention the war) that the budget was over optimistic and warned that there will be a shortfall in income tax alone (WITHOUT any spillover from Gaza and some bordering countries’ beggar-thy-neighbour policies).
I estimated a shortfall of 70 mil JODs in income tax for the top companies; turns out it is worse: 120 mil JODs.
And what about the remaining 280 mil JODs? Fuel tax remained relatively the same. I’m guessing probably lower sales tax on goods and services (due to the boycott? and/or lower purchasing power? Fewer tourists? Bad implementation of Fawtara system?). This is just a guess as the Ministry of Finance is late in publishing its monthly report so no one knows for sure.
Only thing I wished is that they didn’t include parking fines and speeding tickets in the General Amnesty. That was a good source of income for the government and a much needed lesson to bad drivers in the country.
We’re still half way through the year and they still have time to sort things out.