JCC calls for sales tax cut on shoes, clothes

3. Clothes
(File photo: Ameer Khalifeh/Jordan News)
AMMAN — Representative of the clothing, shoes, fabrics, and jewelry sector at the Jordan Chamber of Commerce Asaad Al-Qawasmi has called on the government to reduce the sales tax by half, from 16 percent to 8 percent, noting that customs and tax duties constitute 38 percent of the cost of clothing, and 37 percent of the cost of shoes, Al-Mamlaka TV reported.اضافة اعلان

At a press conference held on Sunday, Qawasmi said that current offers and discounts on clothing and footwear have failed to stimulate sales.

He pointed out that merchants resorted to making offers on summer goods because they needed to dispose of stocks and provide liquidity, noting that the summer season of 2022 was one of the harshest in the past five years, as tourism and expatriates’ visits to the Kingdom did not affect the local market.

Qawasmi said that merchants had imported JD55 million worth of winter goods by mid-September, out of the JD200 million total imports of clothes and shoes, compared to JD156 million in the same period last year, an increase of 27 percent.

He pointed out that the increase in the value of imports does not reflect the consumers’ purchasing power, but rather a willingness and hope that the markets will recover again.

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