Former president Nasheed calls not to increase GST

Former president of Maldives, Mohamed Nasheed, has said that general businesses would suffer if the Goods and Services Tax (GST) was increased to more than 9 percent.

Speaking at Maldives Democratic Party (MDP)’s rally last night, former president Nasheed said, “I humbly request not to increase the rate of GST because it will create losses for the general businesses.”

The current GST for general trading is 6 percent while GST for the tourism sector is 8 percent.

Nasheed also said that the GST taken in Maldives should be lesser than the GST taken in other countries in this region, and that in addition to GST, tax on profits should also be low.

Nasheed said that the economy is suffering because the tax system is incomplete in Maldives, and put forward income tax as the solution.

He said that income tax should be levied and import duty should be done away with, to improve the economy.