TEAM fears resort workers’ income may be indirectly affected by T-GST rise
20 Feb 2014, 8:12 PM
Daniel Bosley
The Tourism Employees Association of Maldives (TEAM) has expressed concern that certain resorts are planning to reduce service charges in the wake of the proposed increase to the Tourism Goods and Service Tax (T-GST).
“While the decision to increase Tourism General Services Tax (T-GST) is going to increase the government’s income, some resorts are trying to reduce the percentage of service charge collected from tourist for the resort workers; this is very concerning and unacceptable for our association,” read a TEAM press release today.
Earlier this month the People’s Majlis agreed to revenue raising measures which involved increasing T-GST to 12 percent in order to help finance the government’s record MVR17.95 billion budget.
“Even now, in most resorts, the services charge collected from tourists are not distributed according to law, and they are sometimes spent by the companies; the Tourism Employees Association of Maldives is very concerned about this as well,” said TEAM.
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