MVR 2 plastic bag tax to kick in from April 18
Parliament passed the Waste Management Bill in late November.
President Ibrahim Mohamed Solih on Sunday ratified a bill making it mandatory for shopkeepers to charge from April 18 for each plastic bag used to carry goods.
Parliament passed the Waste Management Bill in late November.
The government has made a provision in this year's budget to levy the additional MVR 2 for each plastic bag provided by the shops to its customers to carry their purchases. The government's bill in parliament was issued to implement it.
One of the objectives of introducing the bill is to lay down rules and standards for waste management by planning and maintaining them in a sustainable manner.
MVR 2 per plastic bag
The most important provision in the bill is that for every plastic bag given by shops to the customer is taxed at MVR 2 from the customer. The tax on plastic bags will come into effect after four months of the bill becoming law and coming into force which is April 18.
The bill further states:
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Will have to pay taxes on plastic bags to MIRA
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If a plastic bag is issued without levying this tax, the shop will get fined between MVR 5,000 - 50,000
The bill also provides for situations where tax on bags is exempt. It is:
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Bags sold or supplied by duty-free shops
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Plastic bags used to pack fresh meat items
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Plastic bags used to pack uncooked grains and staples
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Bag with 50 or more plastic bags
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Bin liners that waste management service providers specifically sell or issue for waste collection
When the government introduced the bill, it had proposed to waive taxes on plastic bags used to pack raw rice, sugar and flour. However, the committee concluded that the purpose of levying taxes was not served if there was no tax on the bags used for foodgrains.
National waste management plan
The environment ministry will have to prepare a national waste management plan within a year of its enactment. Here are some of the things that need to be included in the plan:
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National waste management policy
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Strategies and goals to implement the national waste management policy
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Ways to manage common waste, construction waste, hazardous waste and special waste
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Methods for waste management at the island, city and regional levels.
