KUWAIT CITY, March 6: The Ministry of Finance has started taking the necessary steps to implement the taxation system for residents, reports Al-Kuwaitiah daily quoting sources.

Sources explained that once the system is implemented, the foreigners residing in Kuwait will be required to pay tax on their incomes and remittances.

Sources said the ministry also intends to lay down a mechanism for limiting the foreign remittances by prohibiting expatriates from remitting more than the monthly salary mentioned in their files at the Ministry of Social Affairs and Labor.

In another development, the ministry has asked the local banks to provide details on the total transactions paid by MasterCard from 2000-2010 in order to complete the study on the proposed implementation of the income taxation decree number 3/1955, which had been amended as decree number 2/2008, and its executive bylaws.