Constitutional Council Revokes Tax Hike Law, Says Won't Affect Salary Scale

إقرأ هذا الخبر بالعربية W460

The Constitutional Council unanimously annulled on Friday the tax hike law aimed at funding the wage scale for civil servants and the armed forces after an August appeal submitted by ten lawmakers.

President of the Constitutional Council told reporters after the meeting, that the “next step would be the responsibility of the Parliament.”

A member of the Constitutional Council assured reporters in remarks he made form his car while leaving the premises that the “decision will not affect the wage scale," and that civil servants and armed forces will receive their September salaries based on the new wages lists.

Asked about the sources to fund the salary scale that were initially agreed to be allocated from the tax hikes, he said: “The government has heaps of money, it can manage.”

According to MTV, Finance Minister Ali Hassan Khalil plans to hold talks with Prime Minister Saad Hariri in the wake of the Council's decision.

The Council, which met for the third time this month, has ordered the suspension of the law late in August.

In addition to five Kataeb MPs Sami Gemayel, Nadim Gemayel, Samer Saade, Elie Marouni and Fadi al-Haber, the appeal was signed by National Liberal Party chief MP Dori Chamoun, Marada bloc MP Salim Karam, Democratic Gathering MP Fouad al-Saad and independent MPs Khaled al-Daher and Butros Harb.

The appeal was submitted based on arguments that the approved “taxes will lower the purchasing power of citizens, push more than 100,000 citizens Lebanese below the poverty line, and initiate an increase in school tuition fees.”

The new taxes involve hiking the VAT tax from 10% to 11%, fines on seaside violations, and taxes on cement, administrative transactions, sea imports, lottery prizes, tobacco, alcohol, travel tickets, financial firms and banks.

Authorities have argued that the new taxes are necessary to fund the new wage scale but opponents of such a move have called for finding new revenues through putting an end to corruption and the waste of public money.

Comments 0