GCC finance ministers to explore unified VAT, selective taxation

This file photo taken on May 7, 2014 shows Gulf Cooperation Council (GCC) finance ministers attend the opening of a meeting of the six-nation GCC states in Kuwait City. (AFP)

RIYADH: Finance ministers from the six-nation Gulf Cooperation Council (GCC) will meet in Manama, Bahrain, on Thursday to explore a unified tax system, also known as VAT.
The Committee for the Financial and Economic Cooperation (Finance Ministers) of the GCC countries will hold their 106th meeting in Bahrain, according to Ahmed Al-Kaabi, a spokesman at the GCC General Secretariat.
“The meeting will discuss recommendations of the specialized technical committees on the application of the two unified agreements on the Value Added Tax (VAT) and selective taxation, which have been signed by the member countries,” Al-Kaabi said.
The meeting to be held by the committee will address recommendations submitted by the Committee of the Governors of the Monetary Agencies and Central Banks of the Gulf States on the linkage of the GCC payment systems, the recommendations of the Customs Union Authority on the completion of Customs Union’s requirements and recommendations of the joint GCC capital market committee.
Ministers will also look into the deepening of the economic integration between the GCC countries and uniformity of incentives provided to the private sector in the GCC countries, the official informed.
Meeting participants will discuss other recommendations submitted by technical committees from the committee of financial and economic cooperation and proposals offered by the GCC countries on the activation of economic cooperation and integration between the member states.
Al-Kaabi said that finance undersecretaries will hold a meeting in Manama on Wednesday, a day ahead of the ministerial meeting to set the agenda, whereas a preparatory ministerial committee of the GCC Commission for Economic and Developmental Affairs will hold its meeting in Manama on Tuesday.
The meeting will explore key issues related to joint GCC economic and developmental work, which were referred to the GCC Commission for Economic and Developmental Affairs.
Participants will also touch on issues notably steps taken by the office of the GCC Commission for Economic and Developmental Affairs on the development of the joint GCC work in economic and developmental areas up to 2025.
The committee also plans to explore proposals submitted by the GCC member countries and General Secretariat on the activation of economic integration between the member countries.