Panel to discuss to impose remittance tax on expats – Indemnity taken up

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KUWAIT CITY, March 24: The parliamentary Financial and Economic Affairs Committee will discuss on Sunday the proposal to impose tax on remittances of expatriates.

Committee Chairman MP Salah Khourshid confirmed the attendance of Finance Minister Nayef Al-Hajraf, adding that the committee looked into the report of its legislative and legal affairs counterpart which had earlier rejected the proposal due to suspicion of unconstitutionality.

He clarified there is no intention to impose taxes on remittances of citizens, stressing the proposal is for expatriates only.

Meanwhile, the Health, Social and Labor Affairs Committee will meet on Sunday to tackle the proposed amendment of Article 51 of Private Sector Labor Law No. 6/2010.

Minister of Finance Nayef Al Hajraf, Minister of Social Affairs and Labor and State Minister for Economic Affairs Hind Al-Sabeeh, and the chairman of Kuwait Chamber of Commerce and Industry (KCCI) will attend the meeting.

Article 51 states that an employee is entitled to end-of-service benefit as follows:

■ Ten days remuneration for each of the first five years of service and 15 days for each year thereafter for employees paid daily, weekly, hourly or piecework basis. The total end-of-service pay should not exceed one-year remuneration.

■ Fifteen days remuneration for each of the first five years of service and one month for every year thereafter for employees paid monthly. The total end-ofservice pay should not exceed one-and-ahalf year remuneration. The worker shall be entitled to fraction of the year in proportion to the period of service. Unpaid loans shall be deducted from the end-of-service pay.

The Social Security Law shall be taken into consideration as the employer will pay the difference between amounts accrued due to worker’s subscription to social security and the endof- service pay.

Furthermore, the Legislative and Legal Affairs Committee will meet on Monday to talk about the following proposals:

■ Transferring the duties and functions of the Central System for Remedying the Status of Illegal Residents (CSRSIR) to the Ministry of Interior

■ Registration and proclamation of student unions

■ Regulation of higher education

■ Amendment of Article One of Law No. 110/2014 to stipulate financial reward for military personnel covered by the Social Security and Pension laws.

By Abubakar A. Ibrahim Arab Times Staff

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