MPs endorse article allowing taxpayers to contest income tax value in court

AMMAN — Lawmakers on Wednesday continued their deliberations over the draft income tax law, granting taxpayers the right to appeal to the court if not convinced with the estimated tax value.

During Wednesday’s Lower House session, a majority of MPs voted in favour of a proposal by Deputy Abdul Karim Dughmi (Mafraq, 1st District) to grant taxpayers the right to contest the imposed tax value in court provided that they submit documents justifying their claim.

Under deputies’ amendments, the value of the income tax and the fines estimated and imposed by the Income Tax Department’s assessment commission can be lowered or cancelled by the court, which can also dismiss the appeal if contesting taxpayers fail to show up or do not renew the appeal within 30 days from the time they receive a notification letter.

During previous sessions, MPs endorsed another provision in the 81-article law imposing a JD4,000 fine on taxpayers as a “failure-to-pay penalty” for every week of delay in paying their income tax during the prescribed period.  

Lawmakers endorsed another provision in the draft law granting the Income Tax Department director the right to allow taxpayers to pay their dues in instalments under justified reasons and in accordance with certain measures that stipulate a 9 per cent increase in the value of the estimated tax.

The provision, as endorsed by MPs, allows taxpayers, both individuals and companies, to file complaints challenging their income tax assessment within 30 days to the board of assessment review, which comprises three auditors if the estimated tax is JD5,000 or more and one auditor if less.

The House is expected to finalise the draft law by next Sunday’s session.