Amendment bills for Green Tax, import duty submitted to parliament

The government has submitted amendment bills to the parliament for the Tourism Act and the Export Import Act, to introduce Green Tax and make changes to import duty rates.

The amendment to the Tourism Act states that a Green Tax should be imposed on hotels, excluding guest-houses, at the rate of $6 per tourist per day.

The President’s Office said that the purpose of introducing a Green Tax was to establish a proper waste management system, as the present waste situation in the country has adverse effects on tourism; and to make the local tourism sector more environmentally-friendly.

Minister of Finance Abdulla Jihad has said that the income from Green Tax would also be used to establish sewerage and water systems, and for protection of beaches.

Regarding the amendment to the Export Import Act, the President’s Office said that the purpose of the amendment was to revise import duty rates based on recent changes in the world market.

Jihad has said that import duty on tobacco would be increased form 150 percent to 300 percent, and import duty on vehicles would be increased from 100 percent to 150 percent.

He also said that import duty would be introduced for perfumes, at 10 percent.