Tax hike on dependents of immigrants hits NRIs
Saudi Returned expats of coastal region struggling to find jobs!
Mangaluru, July 17: Ever since Saudi Arabia has imposed huge tax on the dependents of immigrants, expats from coastal Karnataka are bearing the brunt of this new expatriate dependent fee that Saudi Arabia introduced in July, 2017.
The expatriate dependent fee has forced NRIs to send their families back home or in some cases they too have returned to their motherland. The returned NRIs are now struggling to find a viable job.
Muhammed Nawaz (name changed) has been working as a mechanical supervisor in Saudi Arabia since 20 years. He was living in a rented house in the Kingdom and had called his wife and children to stay with him. Few months ago he sent back his family back home. In the name of expatriate dependent fee which is linked to Iqama (residence license), for a family of wife and four children Muhammed Nawaz had to pay 500 Saudi riyals per month (approximately Rs. 9,146).
To overcome from country’s slumping revenue due to decline in global oil prices Saudi Arabia introduced expatriate dependent tax in 2017 and imposed tax on the dependents (wife, children and others) of Immigrants working in Saudi.
Sources reveal that since 2017 Saudi Arabia is imposing 100 Saudi riyals per person/month (Rs. 1800). The taxation system will continue till 2020 and will get doubled every year. That means a person has to pay 200 Saudi riyals per person/month in 2018, 300 riyals in 2019 and whopping 400 Saudi riyals in 2020.
Many families from Dakshina Kannada, Udupi and Bhatkal have found their livelihood in Gulf countries. But hiked fee has shattered the lives of these families. The Saudi government is not providing any facilities in return of this additional tax. There is no meaning in paying 1200 riyals to the government. Hence, I was forced to send my family back home, said Muhammed Nawaz.
According to one estimate, out of thousands of Kannadiga families living in Gulf countries at least 500 families have returned from Saudi Arabia alone. As these families are poor and fall under low income group, they are now struggling to rebuild their lives from the beginning. They are looking forward for support from Karnataka government like Kerala government that has lent a helping hand to Gulf returned families.
Government help is needed
I am working as a manager in a Hyper market in Saudi since 23 years. My wife and two children live with me. The government has introduced Iqama fee last year. This year this fee has got doubled. In addition, to ensure top most posts for locals Saudi is sending back expatriates. In the wake of this drive I decided to submit my resignation and returned to my mother land with family.
Like me hundreds of families have returned from Saudi. Some have sent their families back home. Now I am looking for a job here.
- Aboobaquer Khader Bail Muhammed, Surathkal, Kaana.
No relief for Government jobs!
After imposing hefty iqama fee on expatriates, Saudi has now targeting the expatriates serving In government departments.
Abdul Aziz Sheikh Muhammed, a resident of Mangaladevi in Mangaluru was working in Saudi Electricity Company since 25 years. He returned to his home land after he was removed from his job.
Basically, I am a civil engineer. Since last year Saudi is levying tax on dependents of expatriates. This year they are kicking out expatriates from jobs to ensure job to locals. They are removing government officials too. I and my family returned to home land two and half month ago. Last year I had paid 100 Saudi riyals per head as fee. But this year since I lost my job, it was impossible for me to pay the hiked fee and hence I returned home. Now I am searching for a job here, Sheikh Muhammed explained to Vartha Bharati.
12 persons working in various private companies have sent back their families (Four persons returned to India along with their family). As I suddenly lost my job, I faced problem in providing education to my children. Especially, I struggled a lot to admit my daughter to 10th std in CBSE school here, Sheikh Muhammed said.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
What is Iran’s 10-point plan? Key demands ahead of US talks in Islamabad
Tehran/Islamabad: Iran has outlined a 10-point plan as the basis for upcoming talks with the United States, expected to begin in Islamabad on April 11, according to a statement from the Iranian Supreme National Security Council.
The plan lays out Tehran’s key political, military and economic demands, and is being seen as a framework for negotiations following the recent escalation in the region.
Strait of Hormuz at the centre
A major focus of the plan is the Strait of Hormuz, a critical global shipping route. Iran has proposed “controlled passage through the Strait of Hormuz in coordination with the Iranian armed forces,” which it says would give the country a unique economic and geopolitical position.
The plan also calls for the “establishment of a safe transit protocol” in the Strait that would guarantee Iran’s dominance under an agreed mechanism.
Call to end conflict
Iran has demanded “the necessity of ending the war against all elements of the axis of resistance,” signalling its expectation that hostilities should stop not only in Iran but also involving allied groups in the region.
US troop withdrawal
Another key demand is the “withdrawal of US combat forces from all bases and deployment points in the region,” indicating Tehran’s long-standing position against American military presence in West Asia.
Sanctions relief and compensation
The plan places strong emphasis on economic measures. It calls for “full payment of Iran’s damages according to estimates,” along with “the lifting of all primary and secondary sanctions and resolutions of the Board of Governors and the Security Council.”
It also seeks “the release of all Iranian assets and properties frozen abroad,” which have been a major point of contention for years.
Binding global guarantee
Finally, Iran has demanded that all these terms be formally recognised through “a binding Security Council resolution,” suggesting it wants international legal backing to ensure enforcement.
What this means
The 10-point plan reflects Iran’s broader push for security guarantees, economic relief and regional influence. The upcoming talks in Islamabad are expected to test how far both sides are willing to negotiate on these demands.
