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World
21 Jun 2017

Will Saudi's family tax force Indians to return?

Saudi family tax to cost Indian expatriates dearly

With Saudi Arabia rolling its family tax plan for the expatriates, it is the 41 lakh Indians who will suffer the most and may eventually end up returning to their homeland.

The monthly dependant fee for the expats is all set to commence from July 1.

For the unversed, Saudi Arabia issues family visa to people with a salary of 5,000 riyals (Rs. 86,000).

In context

Saudi family tax to cost Indian expatriates dearly

What is the family tax all about?

Saudi Arabia is all set to introduce a fee for its expats' dependants, known as family tax. The sum of the fee is 100 riyals equivalent to Rs 1,700, per month for each dependent which is likely to prove a financial burden for Indian expats.

No pay, no stay?

Cost of living?

No pay, no stay?

As per the migrant activists, many people working in Saudi Arabia are now planning to shift their base to India with the new policy in tow.

Moreover, the new tax regime will see the imposition of 100 riyals per dependant every year till 2020.

To top it all, the fees has to be paid in advance!

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Outcome

What to expect?

Though Indian officials remain tight-lipped on the matter, it is the working class which has been hit hard.

Men have been forced to turn bachelors with their money plight being an aggravated issue.

With the new policy to be effective from July 1, it is to be seen if Indians at large are able to cope up with this sudden policy measure by Saudi.

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