Indian men in Saudi set to become bachelors as new family tax regime kicks in
Several Indians living in Saudi Arabia are bracing for financial trouble. The Saudi Government will start imposing a dependent fee of 100 riyals or Rs 1,700 every month.
While this will prove to be a huge financial burden on the Indians employed in Saudi Arabia, they are now planning on sending their dependents back. There are over 41 lakh Indians living in Saudi Arabia.
Saudi Arabia issues the family visa to people who have a salary of 5,000 riyals. The wife and the children who are treated as dependents will now be imposed a fee. A man with his wife and two children would have to pay approximately 300 Riyals or Rs 5,100 per month.
What is making matters worse is that the tax is expected to go up by 100 Riyals per dependent every year till 2020. At the end of 2020, a family would have to shell out nearly Rs 6,900 or 400 riyals per month.
Most Indians living in Saudi Arabia have started sending back their wives and children to India. It is a huge financial burdern said Talha Mohammad who is back in India on a short visit. He said that he has already sent his wife and child back to India and plans to return alone. We all would lead the bachelor's life now, he said in lighter vein.
The Saudi regime has said that this tax would have to be paid in advance. If wife is to stay in Saudi Arabia for one year, then a total of 1,200 Riyals will have to be paid in advance at the time of renewing the iqama or residence permit. For a family of three dependents, the amount would be 3,600 riyals or Rs 62,000 annually which will have to be paid in advance.