We support imposition of GST on communication services: Government

The government has said that they will support the bill submitted to parliament by the former government on the imposition of Goods and Services Tax (GST) on communication services.

Spokesperson of the President’s Office Abbas Adil Riza said that the government will work towards passing this bill in the parliament.

If this revision is passed, GST will be imposed on mobile phone services, cable TV services and internet services.

Riza said that the current government does not support some elements of the revisions proposed to GST regulation submitted to parliament under former president Nasheed’s economic package. He stated imposing GST on water services as an example.

Hithadhoo Uthuru MP Mohamed Aslam has proposed several revisions to the bill on behalf of the former government. They include no imposition of GST on ferry, bus and taxi services, and no imposition of GST on import and export goods. The government did not indicate if they support these revisions.

Riza said that the government also supports the revision of administrative bill on tax proposed by the former government.

Revisions are being made to parliament regulations in order to continue with the bills submitted by the former government and supported by the current government.

Several members of the coalition government have said that the Maldives is not ready for GST. Some of them are cabinet members in the current government.