Parliamentary Committees Approve Airport and Green Tax Hikes

The parliamentary committees have approved new bills proposing increases to Airport Taxes, Fees, and the Green Tax.

With an amendment to the Tourism Act, the government aims to double the current Green Tax rates. Both bills, first introduced to the Parliament on 16 October—where they faced some dissent—were subsequently sent for sub-committee review on 23 October.

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The amendment concerning Airport Taxes and Fees received unanimous approval in Monday’s meeting, while the Tourism Act amendment was passed with 13 votes.

South-Machchangolhi MP Musthafa Hussain, representing the government, submitted the Tourism Act amendment, which proposes:

• An increase in the Green Tax to USD 12.00 per tourist per day for properties currently charging USD 6.00.
• Raising the Green Tax from USD 3.00 to USD 6.00 per tourist per day on properties currently levying the lower rate.

Gemanafushi MP Asadulla Shihab presented the Airport Taxes and Fees amendment, which proposes a rise in the Departure Tax from December 2024, as follows:

• No change to the USD 12.00 Departure Tax for outbound local economy-class travellers.
• An increase from USD 30 to USD 50 for outbound international economy-class travellers.
• An increase from USD 60 to USD 120 for outbound local and international business-class travellers.
• An increase from USD 90 to USD 240 for outbound first-class travellers, both local and international.
• An increase from USD 120 to USD 480 for those departing via private jets or hires.

The bill also suggests similar increases for the Airport Development Fee in line with the proposed Departure Tax rates.