KUWAIT CITY, Nov 5: The government has allegedly continued closed-door discussions on the proposed tax system despite its previous decision on the temporary suspension of the implementation of the mechanism, reports Al-Anba daily quoting sources.

Sources explained the executive authority has agreed to hold a series of meetings behind closed doors in preparation for the approval of the proposal in the future, although it has yet to specify the date of implementation and lay down the rules. Sources said the government realized the necessity of imposing taxes after realizing that the huge expenditure on public services and infrastructure does not match revenues.

Sources revealed the ministerial Financial and Economic Affairs Committee, in collaboration with a foreign consulting firm, has conducted a feasibility study on requiring companies with a capital of KD100,000 and above to pay taxes. Sources clarified the executive authority had earlier agreed to postpone the implementation of the tax system due to the current circumstances in the region and the international community. Sources added the study includes ways to impose taxes on citizens but no definite mechanism has been laid down until now as everything is still subject to discussion.