New section will cover universal pension scheme, fairer taxation levels and better tax-collection system
Charter drafters yesterday inserted a provision to create a universal pension scheme for retirees whose pensions are not enough to cover basic living standards.
Many of the provisions created by the charter drafters were designed to help and support the low-income sector, such as setting up a fairer tax system, a more effective system of tax collection and a national pension scheme.
The Constitution Drafting Committee (CDC) drafted the chapter on "financial, budget and tax reform", which is comprised of four articles.
One of the articles is on national pensions, stating that "a national pension scheme has to be established that provides enough funds for a sustainable standard of living".
The article also states that an independent committee on finance, budget and tax reform should be set up within a year after the new constitution is implemented. This committee will consist of public and private sector representatives and academics, and will be responsible for studying, analysing and proposing finance, budget and tax legislative reform.
Another article is on reforming the tax system, and it states that "tax reform should emphasise fairness, which will lead to economic equality".
An article also states that "a law should be created that obliges all citizens to declare their income to relevant public offices, so the government can have a complete income record of all citizens so it can use this information to plan its support for low-income taxpayers".
CDC members yesterday also drafted a section on economic reform, where some articles also demonstrated the charter drafters' aim to reduce the income gap and support those in the low-income strata of society.
One of the articles states "there should be continuous distribution of a special developmental budget targeting low economics areas and low-income citizens in order to create a strong community and reduce inequality".
Another article states that "legislation should be designed and implemented so ordinary people can participate in solving social and economic inequality".