KUWAIT CITY: Several citizens and expatriates have expressed disappointment over parliamentary attempts to impose tax on expatriates’ remittances, asserting most expatriates have very limited income. In an investigative report, they pointed out that imposing tax on remittances of expatriates is against the Kuwaiti Constitution; urging the lawmakers to follow in the footsteps of the best countries, not the worst.
Adel Saleh pointed out that expatriates are already suffering due to the increase in fees for health services, especially those with low income who have chronic diseases. Due to financial difficulties, they usually decide to avoid going to the hospital in order not to pay hefty fees at the expense of their health, he lamented. He stressed that tax imposed on remittances will be the last straw which will break the camel’s back and it will prompt a large number of expatriate families to leave this country.
He cited Article 29 of the Constitution which stipulates: “All people are equal in human dignity and in public rights and duties before the law, without distinction to race, origin, language, or religion.” He also cited Article 24 of the Constitution which states that “social justice shall be the basis of taxes and public im–posts.” He affirmed that any legislation which violates the Constitution will never see the light, warning against putting more pressure on the foreign labor force.
Financial analyst and economic expert Ameer Al-Mansour argued that imposing tax on the remittances of expatriates will prompt them to look for other means of sending money to their countries, such as through investment companies. If this happens, the forex business will become active and this will affect the money exchange market in the country, he explained. He stressed the Kuwaiti Constitution will continue to impede such proposals because it does not allow imposing tax on one person while exempting another, adding that Kuwait should stop following such path.
