Traders appeal against sales tax law [Archives:2005/839/Front Page]
Yasser Mohammed Al-Mayyasi
San'a, 2 May YT – The Capital's Chamber of Industry and Trade held on Monday May 2 a press conference with the aim to clarify the stance of the private sector towards sales tax law No. 19 for the year 2001, due to be put into practice next July.
The Chamber of Industry and Trade filed an appeal claiming invalidity of the sales tax law No. 19 to the Supreme Constitutional Court for the sake of reconsidering it.
The conference was attended by a number of traders and businessmen including Jamal al-Muttarrib, member of the Chamber of Industry and Trade, who, on behalf of businessmen and traders, confirmed the issuance of sale tax law No. 19 is a violation against the law and the constitution.
He added that the law in its current draft will cause price hikes, discourage the national industries, magnify investment costs and open the door for smuggling that in turn may collapse the national economy.
He further stressed that the PM attacked the private sector and stopped dialogue between the government and the private sector, which caused a problem without a solution.
The Chamber of Industry and Trade authorized Dr. Hassan Mujalli, Professor of Criminal Law at Sana'a University to file a suit against the sales tax law to the Supreme Constitutional Court.
The press release issued by the press conference called for the amendment and clarification of most of the articles contained in the law, as well as activating the role of judiciary and establishing the monitoring judiciary to protect investors and the private sector. It recommended the implementation of legislative reforms for all the laws associated with private sector activities.
The sales tax law led to fomenting a political crisis over the past few months between the government on the one hand and objectors of the law on the other, causing a crisis between the government and the opposition Joint Meeting Parties.
People took to the streets in most of Yemeni governorates in protest against the sales tax law and those demonstrations were accompanied by chaos and conflict between civilians and security troops.
Afterwards, accusations were exchanged between the government and the opposition Joint Meeting Parties and the Government-affiliated media means waged campaigns against the opposition parties and accused the Islah Party of being held accountable for a great portion of chaos and violent acts that accompanied the demonstrations.
In addition, the Ministry of Interior blamed other opposition parties of standing behind violence and fire shooting which occurred during the demonstrations.
The opposition parties hold the view that the crisis was caused by the wrong policies followed by the government as well as the corruption practiced in the administrative and economic sectors.
They blamed the government for being unable to run state affairs. The opposition parties confirmed that they have the enthusiasm to defend civilians, stand by them and enable them to express themselves freely and obtain their rights according to the law and constitution.
Traders believe that the imposition of such a tax is a catastrophe upon them and it will prevent them from achieving successful investments.
On the other hand, the government believes that the majority of traders practice tax evasion to maintain their personal interests at the expense of the public interests.
Besides, monitors hold the view that maker of the sales tax law and the government, could not communicate their message clearly to the population and this in turn cause fear among people that the sales taxes may negatively affect their economic life.
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