A whip to raise taxes is a terrible dictatorial vision: Azim

19 Oct 2022 | 17:22
Azim previously in a debt

MDP's Central Henveiru MP Ali Azim has expressed concern over MDP issuing a three-line whip to pass the government's proposed amendment bill to increase TGST and GST to meet government expenses.

A bill to alter the 2018 Goods and Services Tax (GST) Act was introduced by the government on August 28. A three-line whip was issued by the parliamentary group of the governing party.

The government has decided to hike TGST and GST from January next year.

Responding to this, MP Azim expressed concern over the committee issuing a three-line whip before speaking with the traders, the tourism industry, and the finance minister.

"Before the discussion, a three-line whip to pass the bill as it gives a terrible dictatorial impression,".

Said MP Azim

The government's proposed amendment to the Parliament to increase taxes states:

GST - To increase from 6% to 8%

TGST- to increase from 12% to 16%

According to the International Monetary Fund (IMF), if the government were to raise taxes, the ideal time to do so would be in 2024. IMF also noted that the tax hike would also depend on the current inflation situation as well. 

The majority of the MPs who spoke during today's debate in parliament agreed that more research and discussion are required.

Azim further highlighted the importance of bringing in major stakeholders as well. 

Businessmen should be brought in. We need to bring in some of the shopkeepers and guesthouse owners to talk about this. We have to see how much damage it will do to them if we do such a thing

Said Azim

He further went on to explain that there are many other things the state could do to raise MVR 2.5 billion and he would not support the tax hike. 

Comments