It is wiser to cut government spending than to increase taxes, said Ali Azim, Parliament member for the Medhu-Henveiru constituency.
Azim said this in response to MP Ahmed Abdulla’s comment on the tax hike. Parliament member Ahmed Abdulla said that the tax hike is politically difficult but it is for the benefit of the people.
However, in response, Azim said it was wiser to cut government spending. He also questioned the benefits of raising taxes to cover the government's recurrent expenditures.
The amendment to the Value Added Tax Act was moved by Parliament member Mohammed Shifau. Shifau proposed an increase in TGST from 12 percent to 16 percent and GST from 6 percent to 8 percent. The bill was accepted and referred to the full House committee for consideration.
Azim said this in response to MP Ahmed Abdulla’s comment on the tax hike. Parliament member Ahmed Abdulla said that the tax hike is politically difficult but it is for the benefit of the people.
However, in response, Azim said it was wiser to cut government spending. He also questioned the benefits of raising taxes to cover the government's recurrent expenditures.
The amendment to the Value Added Tax Act was moved by Parliament member Mohammed Shifau. Shifau proposed an increase in TGST from 12 percent to 16 percent and GST from 6 percent to 8 percent. The bill was accepted and referred to the full House committee for consideration.
