Saudi Arabia’s Labour and Social Development Ministry has announced the deadline for implementing the next stage of the salary protection programme. The Ministry’s official spokesperson, Khalid Aba Alkhail said stages 11 to 16 of the programme targets enterprises employing 11 to 80 employees. The eleventh stage will be implemented in August 2017 and will target enterprises employing 60 to 79 employees. The aim of the programme is to protect salaries and fine enterprises who fail to pay the salaries on time 3000 Riyals. This fine will be multiplied by the number of employees affected.
The Saudi Labour and Social Development Minister Dr Ali Bin Naser Alghaffed has launched a new electronic portal in the Ministry in Riyadh which will act as an official tool that enables civil associations to disclose their information. The undersecretary of the ministry for social development Dr Salem bin Ahmed Aldini said the portal would enable societies and concerned parties to see the basic, demographic, and financial details of civil associations. The aim is to boost transparency and accountability of these associations.
Saudi Arabia’s Council of Ministers has approved new power regulations to expand the Saudi Water and Electricity Company’s (WEC) remit. The amendments mean WEC, as the Kingdom’s main water buyer, will be able to purchase desalinated, purified, treated and untreated water. The aim is boost water and electricity distribution in the country.
Saudi Arabia’s General Authority for Zakat and Tax (GAZT) has launched a public consultation on the draft VAT Law, which is going to be introduced in the Kingdom on 1 January 2018. The consultation ends on 29 June 2017. The consultation will allow members of the public and businesses to provide feedback before the final law is sent for final approval. The consultation comes after the Gulf Cooperation Council announced the ratification of the unified framework agreement to introduce VAT.
Saudi Arabian Labour and Social Development Ministry sources have said the Ministry is preparing a new system to enable employees to reduce work hours and salaries for a limited time under the Job Share Programme. The aim is to avoid Saudi nationals being dismissed when business is slow. To be able to benefit from the programme, employees should be Saudi nationals who work full-time and have done so for at least three months. Participation will be optional. Work hours and pay should not be reduced by more than 50% and an employee’s salary should not be less than 3000 Riyals after the work hours and pay have been reduced. Employees must not join the programme for more than six months at a time. Businesses should not dismiss employees participating in the programme and should allow employees to work in any other business outside their work hours.
The Manager of Saudi Arabia’s VAT Project, Hammoud Alharby has confirmed companies suffering financial losses will not be exempted from VAT and sectors which generate more than 375,000 Riyals will have to register for the tax. Registration will be optional for sectors generating up to 185,000 Riyals. Alharby confirmed the draft VAT law will be issued in the next fortnight. Its provisions will come into force in January 2018. The penalties are expected to include paying half of the value of the tax due in addition to the tax payment if the business fails to register or if a mistake is made in the tax return.
Saudi Arabia’s Council of Ministers has approved new power regulations to expand the Saudi Water and Electricity Company’s (WEC) remit. The amendments mean WEC, as the Kingdom’s main water buyer, will be able to purchase desalinated, purified, treated and untreated water. The aim is boost water and electricity distribution in the country.
Saudi Arabia’s Communications and Information Technology Commission has announced citizens and expatriates will only be allowed to own two prepaid SIM cards. The announcement follows concerns over terrorist attacks in the country and the regulator hopes the restriction is temporary. The limit applies to voice and data lines in the Kingdom.
Saudi Arabia’s Commercial Transactions Law has been amended. The aim is to tackle the issue of bounced cheques. Article 4(2) of the law has been amended to request the relevant authorities increase the penalties for individuals who commit offences regarding bounced cheques. These include jail sentences and naming and shaming those who issue cheques which then bounce.
News developments
News developments
