Concerning
Registration
Threshold For Sales
Tax Purposes, as
amended by
Regulations No. (92)
of 2001 and (79) of
2003,Enacted by
virtue of Article
(14) of Sales Tax
Law No. (6) of 1994.
Article (1)
This Regulations
shall be called “
Registration
threshold
Regulations of 2001
for Sales Tax
purposes”. It shall
come into operation
as of September 1,
2003.
Article (2)
Any reference in
this Regulations to
the following words
and terms is a
reference to the
meaning assigned
against each
hereunder unless the
context otherwise
requires:
Law : The
General Sales Tax
Law in force.
Department
:
The General Sales
Tax Department.
Special Tax
: The tax
imposed under
schedule (1)
provided for under
paragraph (a) of
Article(3) of the
Law.
Manufacture
:
Extraction of
natural crude
materials or
conversion of
materials by various
means of production
into a new
product by changing
shape, ingredients,
nature or type,
including chemical
operations, mixing,
cutting, shaping,
assembling, packing
and packaging.
Excluded is packing
processes carried
out by traders
selling directly to
the final consumer.
Manufacturing
Producer
: The
person who
habitually performs
a manufacturing
process, whether
primarily or
secondarily.
Service Supplier
: The
person who supplies
or performs a
taxable service.
Trader
: the
person who makes
business by way of
selling his
purchases of taxable
goods to other
persons without
making any sort of
processing thereon.
Article (3)
a) Registration
threshold is the
limit at which a
person becomes
liable to
registration for
sales tax purposes
as a taxable person
required by law to
account for, declare
and pay the Tax to
the Department.
b)
Registration
threshold for the
persons supplying
taxable goods and
services shall be
fixed according to
the taxable
turnover, during the
periods prescribed
under Article (13)
of the Law, reaching
or exceeding the
following limits :
(1) JD 10.000 for
manufacturers
producing goods
subject to the
special tax .
(2)
JD 60.000 for
manufacturers
producing goods
other than those
subject to the
special tax .
(3)
JD 30.000 for
service suppliers.
(4)
JD 100.000 for
traders.
c) In case where a
person carries out
more than one
business activity of
those mentioned
above, the minimum
limit shall be
considered the
applicable
Registration
Threshold.
Article (4)
Registration
Threshold Regulation
No. (18) of 1994, as
amended, for sales
tax purposes shall
be repealed hereby.