Purpose of several items included in the budget is to test if impossible things are possible: Gasim

Chairman of Parliamentary Budget Committee Gasim Ibrahim has said that all leaders want to carry out projects for the benefit of the people, and that the purpose of the items included in the budget sent to Parliament, is to “see if impossible things are possible”.

Gasim, who served as the Chairman of Parliamentary Budget Committee the past two years as well, said that even though the government wants to include projects for the benefit of the people in the budget, “continuous unrealistic documents” being submitted to the Parliament means that people are left with high hopes.

“I know that nothing can be done if we don’t have the funds. Leaders want to do as much as possible… as the person responsible for doing that on that particular day, I don’t wish to criticise the budget sent by them,” Gasim said.

Gasim said that even though it was estimated in the budget that the government will collect MVR12.8 billion as revenue next year, it will only actually be able to collect MVR10 billion.

He said that the new taxes are likely to be passed by the parliament, and that the impacts on the economy of import duty, and increase in departure duty and TGST have to be studied seriously at a ‘micro level’.

Referring to the imposition of tax on communication services, Gasim said that developing countries often tax communication services and fail to understand that they are fundamental services.

“I am not implying that communication services should be taxed. That will be decided by the parliament,” he said.

Gasim said that even though an income of MVR1.8 billion is estimated to be received from new taxes according to the budget, because the budget includes several tentative items, a decision in this regard should be made by the members of the Parliamentary Budget Committee.