22Oct 2018
Monday

Kuwait postpones VAT implementation to 2021

Updated : Wednesday, 16 May 2018, 10:16:26 AM
Saudi Arabia and UAE have already implemented VAT at the start of this year.
Vinila Elizabeth Varghese
By Vinila Elizabeth Varghese
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Kuwait City (IAMINKUWAIT): Kuwait will not implement value added tax (VAT) before 2021, but is planning to push ahead with excise tax informed parliament’s budget committee. The finance ministry also the need to expedite measures for excise tax on select products such as tobacco, energy drinks and carbonated drinks. Six wealthy gulf arab oil exporting countries agreed to introduce VAT at a 5% at the start of the year and Saudi Arabia and UAE did so. The other four countries delayed of the political opposition, the potential negative impact on consumer spending and the technical challenges involved in new tax.

Kuwait has the most powerful parliament in the region , so the budget committee’s desire to delay VAT looks like to stick , although cabinet officials have called for faster tax and spending reforms. International Monetary Fund has estimated VAT in UAE will eventually collect 1.5% of GDP. Kuwait’s finance minister said on Monday that he expected parliament to approve the excise tax during its next session, which begins in October.

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Kuwait gold daily market price in global currencies
CommodityUnitPrice(KWD)Price(USD)Price(INR)Change%
Gold1 Ounce 372.341226.3290015.43 0.1%
Gold1 Tolas 139.62459.8533753.97 0.1%
Gold 18K1 Gram 8.9829.582170.97 0.11%
Gold 21K1 Gram 10.4734.482531.19 0.1%
Gold 22K1 Gram 10.9736.132652.06 0.09%
Gold 24K1 Gram 11.9739.422893.82 0.08%
Silver1 Kilogram 142.84470.4534532.43 0.08%
Silver1 Ounce 4.4414.621073.4 0%
Silver1 Gram 0.140.4633.85 0%