MP for Kendhoo Constituency Mauroof Zakir from MDP has expressed his support for the amendments proposed by the government that would increase the Tourism Goods and Services Tax (TGST) as well as the Green Tax.
Debating the bill moved by Machhangoalhi South MP Mustafa Hussain on behalf of the government, Mauroof said the government had proposed the amendment after consulting with those involved in the tourism industry and that he did not have any qualms against it.
He did however say that suddenly hiking these taxes would present difficulties especially if the fees taken from tourists are also increased.
Though MP Mauroof supported the government-proposed amendment, his fellow MPs from MDP did not support the hikes.
MP for Hanimaadhoo Constituency Abdul Ghafoor Moosa stated that these hikes would not benefit the public. He said there won't be any economic benefits even if the government keeps on increasing all the taxes without cutting down on its expenses.
Hithadhoo South MP and MDP Parliamentary Group Leader Ibrahim Nazil said the government's proposed tax increase is unclear.
He added that once the taxes are increased, tourist arrivals would fall drastically.
Nazil said the public is questioning what the tax increase can do for the state. He said people are appointed and paid for political positions, but rural projects are stalled.
