Annual fee for Renewing and Issuing Istimara comes into force in Saudi Arabia

Annual fee for Renewing and Issuing Istimara comes into force in Saudi Arabia

With effect from 22nd October 2023, Saudi Arabia began charging an annual charge for the issuing and renewal of Vehicle Registration Licenses (istimara) in line with the vehicle’s fuel efficiency. Most Viewed : Lack of valid vehicle insurance violation in Saudi Arabia

Owners of new light vehicle models from the Year 2024 will be the only ones subject to the fee in the first phase. The second phase, which will apply to owners of all light and heavy vehicles, will go into effect in the Year 2024.

Two factors will be used to determine the annual charge of Istimara. For all light cars manufactured in the Year 2015 or earlier and all heavy vehicles, the first measure is engine capacity, for light vehicles manufactured in the Year 2016 or after, the objective is fuel efficiency.

– It is important to mention that the Council of Ministers decided to levy an annual fee for the issuance and renewal of driver’s licenses based on the fuel efficiency of the vehicles in August 2021. 

– The Saudi Standards, Metrology and Quality Organization, the Zakat, Tax and Customs Authority, the General Traffic Department, the National Information Center, and the Saudi Energy Efficiency Center are just a few of the government organizations taking part in the application of the annual fee.