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Tax and customs levies is another aspect of war in Yemen

Jun - 29 - 2021   Download The Version

Over the last seven years, the dual tax and customs policy measures in Yemen have contributed to the emergence of negative repercussions on the overall economic activity, and the failure to deposit these resources in the correct and legal outlets of state public treasury. These resources are widely dispersed. There are many complications in the collection of customs and tax revenues, especially in the areas under the control of the Houthi group, which has established double customs centers in the ports of its areas of control, on all goods and commodities coming from the areas controlled by the Yemeni government. Houthi authorities raised customs duties, by 30%, in all ports under their control.

The duality that emerged since the outbreak of the war seven years ago, in collected levies, taxes, and other fees, especially in customs duties, has doubled the prices of commodities, foodstuffs and consumer goods. The consumer has paid the price of double taxation and customs, enforced and consolidated by Houthi group significantly, especially in recent years.

On the other hand, the state of lawlessness and the struggle of the conflicting forces in the areas under the control of the internationally recognized government encouraged random collection and tampering with tax and customs revenues, not to mention the confusing decisions and mechanisms of the commercial sector that were imposed on imports during the past period.

The security turmoil that afflicts the country has also given rise to further complications in the mechanisms of collecting tax and customs revenues. Commercial and economic activity paid an exorbitant tax as a result. Practical changes in the collection mechanisms have also led to bottlenecks in the supply markets, and the high cost of goods delivered to the consumers.