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Tax on expat remittance back on discussion

Tuesday, May 19, 2020

Tax on Expatriate money remittances returned to the limelight again as MPs called the parliamentary committee to include this in the agenda.

According to Al-Rai Arabic newspaper report, Parliamentarian Al-Saleh revealed that, according to the statistics of the Central Bank, the total remittances made by expatriates from Kuwait is amounted to about 4.2 billion dinars in one year. Imposing tax on this transfers will have a role in improving state revenues and diversifying sources of income, he said.

Al-Saleh explained that "this practice is in force in the vast majority of countries in the world including more than one Gulf country, and expatriates in those countries did not oppose it."

He added, "We do not target the expatriate brothers, because imposing symbolic fees on financial transfers will not have an impact on their money, and in return it has a positive return on the state's economy".

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San_Ju
Wednesday, May 20, 2020
@ shumaila Khan Thanks friend and appreciate insite and differnet wise feedback. We agree fully and we share same thought. We only want our employer to pay us for hard work we do, for 12 hour shifts we do, and for sleeping 4 in one room, and 12 in one apartment, and pay is KD 100 a month. You are very truethful and shame many people come on illegal visa. Who give them illegal visa?What nationalty give them illegal visa? If you do not poor people from outside, who will fill car with petrol, cook your burger, clean your window and your street after you throw Starbucks cup out of window, server you in bakkala, be your nurse and doctor, fix your tyre, cook your shwarma, fix your shisha, cut your hair, trim your beard, drive your taxi - i only see foreign doing this - but maybe you in different country. We are thankful and much appreciate what Kuwait has done for us in time of need, good life and saving our families.

moorthi
Wednesday, May 20, 2020
As per the article it is appox 12 billion USD is the yearly remittance of expats...do a country holding 600 billion USD as sovereign fund need to put their hand even on salary of the unskilled worker who earn 100 dinar only....valyavante veetile daridryam oru daridryam thanne ane ...

Habeeb Pallath
Wednesday, May 20, 2020
@Jinu Simon
As many of the GCC countries and the Asian countries like Malaysia Singapore etc. they already imposed tax on expat remittance since 20 or more than years..And the percentages of Kuwait is to proposed are compared to these countries are very less I believe..Luckily since Kuwait was too late in to impose such any of the taxes..Look in Emirates..Every items we buying from garments or grocery shops have to pay 5% VAT..Petrol items dont have subsidy there like Kuwait..We gets Premium petrol here in 85 fils cost..Same petrol in emirates we have to pay 0.250 fils per liter..And even to visit a children park or beach areas there is gate pass and costs minimum 1 kd and above for single entry or parking fee to pay....Using car is another head ache in these [places..Parking fee is mandatory everywhere in the governorates..First hour will cost nearly 0.150 fils..and after 1 hour it will cost double and every hour it will cost by double..means if we forget to remove the car from any of the parking per day you have to pay nearly 15 kd and above approximately..The another headache is that there is n every 1 hour, special municipal patrol teams roams all around and if they caught that any of the vehicles are parking there more than 10 minutes of parking ticket allowed time they will put a court sticker on it and need to meet with Judge to pay the fine..And to visit Dubai we have to pay road taxes..For a single day visit by own car we have to pay nearly 25 Kd or above for its toll booth....Everywhere we need to get ready to keep Count our money from our pockets..
Definitely ,Comparing them we all lucky to have a country like Kuwait we were living..
Expenditure Moral--500 Kd Kuwaits salary is equal to 1500 kd in emirates
Taxes are ok for some reasons but it should be targeted for rich who earns monthly more than 600 kd and above..Leave it poor labours..

Prasad
Wednesday, May 20, 2020
This is not right time to implement tax. Most of the expatriates and their families are facing financial crisis due to corona problem. Also many expat veterans will leave the country as they have better opportunities in some other countries. It will be problem less if implement tax on sales not for remittance.

Shabbir
Tuesday, May 19, 2020
Ooo..I agree with them ,and they will definitly show humanitarian as by giving no tax for at least below 450 kd remittance ,and putting tax above 450 with different slabs.We have to accept as this is not our country and we have to obey their rules and we are thank full to kuwait when we did not get jobs in our counties we flew to kuwait, this is the best country in middleeast when compare all rules from other counties.But remember our brains will always think other side is green when u check then you will find the reality.

jinu simon john
Tuesday, May 19, 2020
@Habeeb Pallath
What is your real job Mr. humble Finance Minister?? This kind of logic maybe works in Kerala ONLY, where there is socialist govt. People who work hard and achieve success should not be subject to more tax than others. Govt. can compensate on behalf of poor people. Otherwise rich people know better than you how to evade tax and steal from the poor.

Abdul
Tuesday, May 19, 2020
GOOD decision, please take immediate action for present situation required.
now We support to kuwait Government based on present situation

Habeeb Pallath
Tuesday, May 19, 2020
My humble suggestion to impose tax on like these methods according the Civil Id numbers by monthly targets. The total target amounts should be calculated by yearly basis..
Sending ammount KD 100-200 0 tax
KD 200-300 0,500% tax
KD 300-400 1%tax
KD 400-500 4% tax
KD 500-600 5% tax
KD 600 upto 1000 10% tax
KD 1000 upto 2000 15% tax
KD 2000 and above 20% tax

Murali
Tuesday, May 19, 2020
@EXPAT & Sabin
When govt. asked nicely all unwanted expats to leave for so many months, we insisted on staying. Now even if we want to leave we cannot. They will grab how much they can without your permission and there is nothing you can do about it. Enjoy planning for your future and the future of the cbse children :)

shumaila Khan
Tuesday, May 19, 2020
@San_Ju @Well Wisher
Equality means same treatment for all. Getting 1kd or 100,000kd salary does not mean they should pay different. Those who have more salary are enjoying the benefits of their country or hard work of their ancestors. Expats should claim benefits from the country of their nationality. Not sit in Kuwait or Saudi and demand equality. Go to India or Bangladesh and see if your government will give how much you are getting now also. People get what they deserve. Many of the people came on illegal visa and took illegal advantage and now they want justice and equality after spoiling the economy of Kuwait. On top of that blaming Kuwait at the drop of a hat for everything. Since nobody buying oil, Kuwait will take tax from expats to make up for the deficit.

Sabin
Tuesday, May 19, 2020
Dear Minister,
This is not the right time to discuss such matters..you are really aware of the current situation..we are working in private firms..no salary..with whatever we have we are trying to balance our life here and back in our home country..situation is worst everywhere..atleast on humanity basis..request you to drop this topic as of now

Well wisher
Tuesday, May 19, 2020
High income/salary peoples should be charged not the 100 kd, 250 kd salary/ income person & the same time they can put road usage fee on cars,bus,trucks..according to size ,value of cars..

San_Ju
Tuesday, May 19, 2020
@Vic AT least 5% vat.. 15.. 20% VAT is FAIR as it has to be paid by everyone. When Saudis go to New York/London/French Rivieria or Amalfi Coast to nice house with pool and room for a poney, and send 10,000 kd for the summer, do they pay same price as otheres? Some of us sent 50KD a month to make live 1 wife/husband, children and relatives. Now many jobless, so now no money. The law must be there for everyone, but is now right time to do it? Please pray for us well being.

Alagappan Muthaiah
Tuesday, May 19, 2020
We will have to respect if such tax implemented by government of Kuwait to recover their economy from the damage of Covid-19 pandemic.
My point of view is Kuwait has own rights to set up their rules as long as they do not hurting individuals living in the country towards the progress and prosperity.

dev
Tuesday, May 19, 2020
what about the facilities in return .
tax is nothing but a give and take service between govt and public.
and above all equallity in society.

vic
Tuesday, May 19, 2020
Be thankful they are not considering to impose VAT like how the Kingdom of Saudi Arabia implemented which was 5% and now its 15% due to the Covid-19

Secondly the Oil Production has taken a steep dive which is another main factor.

There is no clear vision in the World right now till the Covid-19 vaccine is out.

EXPAT
Monday, May 18, 2020
This is not a perfect time to discuss these kind of inhumane issues.
Request to Hon''ble Minister Al Saleh to understand the situation of expatriates who were/are always there for your country''s development.

Salna
Monday, May 18, 2020
I know it happens....

K.D.MURTHY
Monday, May 18, 2020
Already so much burden on us those who are working in private sectors and during this Covid-19 situation discussion on this is really upsets us.

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