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Sunday, 05 January 2025

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Three Bills tabled for deliberation in the National Assembly

Three Bills tabled for deliberation in the National Assembly

The Tax Bill of Bhutan 2022, Civil Service Reform Bill of Bhutan 2022, and the Civil Liability Bill of Bhutan 2022 were tabled today in the House for First and Second Readings by the Members in Charge of the Bills, the Finance Minister, the Prime Minister and the Chairperson of the Human Rights and Foreign Relations Committee respectively.

The Finance Minister also moved the motion to defer the introduction of the Property Tax Bill of Bhutan 2022 citing the requirement for more preparation and the Bill to be introduced on 10th November 2022.

On the Tax Bill of Bhutan 2022, the Finance Minister submitted that the Bill was introduced mainly to ease the shortage of foreign currency reserves while promoting the local priority sector, which has import substitution potential, and that it will encompass amendments to Customs Duty (CD), Sales Tax (ST), and Green Tax (GT) rates. The Bill proposes to increase taxes on goods that are harmful to health and the environment while lowering taxes on essential commodities which would help to slow the rate of inflation. It has the objective to address the inflationary pressure on food prices and ensure food and nutrition security; protect and preserve the environment; encourage and promote healthy living, and support the development of priority local industries. The Bill was referred to the Economics and Finance Committee as a Money Bill for further review. The Committee will report to the House with its findings and recommendations on 16th November 2022.

Regarding the Civil Service Reform Bill of Bhutan 2022, the Prime Minister submitted that the revamping of Civil Services for a right-sized, future-ready, efficient and effective Civil Service that would deliver the status of “Developed Bhutan” aligning to the Royal Kasho to reform the Civil Service has impacted 46 existing laws. The 46 existing laws require amendments ranging from minor name changes to repeal of certain provisions to align the laws with the restructuring proposals. It was therefore submitted that the Civil Service Reforms Bill 2022 is a single standalone “omnibus” bill containing provisions addressing the restructuring of the agencies with the aim to accelerate the implementation of the Civil Service Reforms in the shortest possible time as the deliberation will be just a single focused bill. It was also submitted that the Bill shall provide a legal basis for the restructuring and reorganization of civil service structures, including Ministries, and enable Agencies to carry out their mandates and functions. The Good Governance Committee will review the Bill as an Urgent Bill and submit their findings and recommendations to the House tomorrow.

The Chairperson of the Human Rights and Foreign Relations Committee, Hon’ble Rinzin Jamtsho introduced the Civil Liability Bill of Bhutan 2022, a private Member’s Bill which was first introduced in the National Council in its 29th Session. Submitting the background on the Bill, the Member stated that the objective of the Bill is to provide a comprehensive legal framework on civil liability to the extent possible, by consolidating the scattered legislative provisions into a single user-friendly law. It will also provide adequate guidance on the method of computation of the amount of compensation and will bring about accountability and transparency in society and governance, and inspire respect, trust, and confidence in the legal system, thereby enhancing the Rule of Law in the country. He also submitted the reports on the consultations held while reviewing the Bill along with the Financial Memorandum. The Third Reading on the Bill will be conducted on 23rd November 2022 with the Committee submitting its findings and recommendations.

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