Abstract:
This working paper offers suggestions for addressing the negative impact of the tax treatment of treasury bills and bonds, which has increased the state’s budget deficit due to either the unfair withholding tax rate of 20% for investors who rely on leverage to finance their investments—resulting in the Ministry of Finance bearing the tax burden—or to violating international standard application in imposing and collecting taxes, which has opened the door wide for tax planning, both domestically and internationally.
