Malé, Maldives – MP for South Galolhu, Meekail Ahmed Naseem has stated that the tax system needs to be changed to create equality among the people.
Debating the 2023 budget, Meekail said that as the government has decided to increase the taxes that it should consider reforms in the entire tax system.
The government has proposed to increase GST and TGST from January next year. Amendment proposes that TGST to be increased from 12 per cent to 16 per cent and GST from 6 per cent to 8 per cent.
Highlighting the issues with the current taxation system of the country, MP Meekail said the tax system in Maldives needs to be improved and the way property taxes are collected needs to be changed as well. He further added that as of the current system, even the middle class person has to pay a large amount of tax for the apartment the person buys.
We must work to shape the taxation system in a way that will bring about progressive changes, equality and reducing the gap between citizens.MP for South Galolhu, Meekail Ahmed Naseem
Meekail also said that income tax brackets and rates should also be reviewed. Additionally, dividends should also be taxed, he said, citing that it is a huge injustice to the common man not to tax dividends while the tourism sector makes a huge profit.
Meekail also noted that the subsidy system needs to be changed. Explaining the matter, he said that if the subsidies are to be given to the beneficiaries in a sustainable manner, the subsidies should be changed to targeted subsidies.
Overall, Meekail spoke in support of the 2023 budget. He also mentioned the government’s budget for providing housing to the people of Malé City.