The Income Tax bill has been submitted to the parliament by the government.
The bill was filed on behalf of the government by Ungoofaaru MP Mohamed Waheed. The bill’s first reading was heard during the sitting of the parliament on Tuesday.
Finance Ministry stated next year’s income tax will be levied and announced that an approximate of 6,000 citizens will be liable to pay the tax. An annual income of more than MVR 680 million is projected from income tax, the ministry added.
Income tax will be imposed on those earning more than MVR 40,000 per month, according to the government’s bill. Although 8 percent of those earning between MVR 40,000-60,000 will be paid as income tax, 10 percent of those earning between MVR 60,000-100,000 will be charged. Those earning more than MVR 100,000 will be charged 15%.
While the government has suggested imposing income tax on those earning more than MVR 40,000, MVR 60,000 is the tax threshold proposed by the ‘ Agenda 19 ‘ manifesto of the main-ruling Maldivian Democratic Party.