Finance ministry reduces taxes on hotels, restaurants and gas stations

The Ministry of Finance says based on a decree of the Islamic Emirate’s supreme leader, taxes on hotels, restaurants and gas stations have been reduced across the country.

Speaking at an event in Kabul, the Deputy Minister of Finance Mawlavi Abdul Qahir said that the owners of all hotels and restaurants are now required to pay only two percent income tax.

Abdul Qahir stated that fuel stations will pay a fixed tax of 0.3 afghanis per liter, while this amount was previously 0.6 afghanis per liter.

He added that the IEA always tries to provide the necessary facilities for taxpayers.

At the event, Deputy Prime Minister for Administrative Affairs Abdul Salam Hanafi also said that to facilitate the tax issue, tax penalties for the companies have been waived.

Meanwhile, fuel station union officials have welcomed the provision of facilities, especially in the tax reduction sector.

“We thank the Ministry of Finance, when our taxes are reduced, our prices will also be reduced. The effect of this is on the nation,” a representative of the oil tankers’ union said.

According to officials of the Ministry of Finance, hotels and restaurants whose quarterly sales are less than 750,000 afghanis should pay a 2 percent tax and those with sales of more than 750,000 afghanis must pay a 5 percent profit tax.