Three Bills, one Agreement and one Convention were tabled in the House today.

𝟏. 𝐓𝐡𝐞 𝐆𝐨𝐨𝐝𝐬 𝐚𝐧𝐝 𝐒𝐞𝐫𝐯𝐢𝐜𝐞𝐬 𝐓𝐚𝐱 (𝐀𝐦𝐞𝐧𝐝𝐦𝐞𝐧𝐭) 𝐁𝐢𝐥𝐥 𝐨𝐟 𝐁𝐡𝐮𝐭𝐚𝐧 𝟐𝟎𝟐𝟔 The Minister for Finance, as the Member-In-Charge, introduced the Goods and Services Tax (Amendment) Bill of Bhutan 2026 in the National Assembly. The motion was seconded by the Member from Sergithang-Tsirang Toed constituency.

The Bill seeks to amend the Goods and Services Tax Act of Bhutan 2020 by expanding Schedule IV C- Other Exemptions, to include additional categories of rice, edible cooking oils, and motorized wheelchairs under GST exemption provisions.

Under the proposal, twenty-two (22) new BTC Code entries will be added to the exemption schedule, comprising nineteen categories of edible cooking oils, two additional rice varieties, and one category of motorized wheelchair. Upon enactment, the total number of items exempted under Schedule IV C will increase from nine (9) to thirty-one (31).

The Bill also recognizes the importance of equitable and inclusive taxation policies aligned with Bhutan’s Gross National Happiness principles. The Ministry of Finance acknowledged possible revenue implications but stated that improved affordability of essential goods would support household consumption and broader economic welfare. Upon enactment, the total exempt items under Schedule IV C would increase from nine (9) to thirty-one (31).

The Bill was declared a Money Bill and referred to the Economic and Finance Committee The Committee was directed to submit its review report to the House on 26 May 2026 for the Third Reading.

𝟐. 𝐀𝐠𝐫𝐞𝐞𝐦𝐞𝐧𝐭 𝐛𝐞𝐭𝐰𝐞𝐞𝐧 𝐭𝐡𝐞 𝐊𝐢𝐧𝐠𝐝𝐨𝐦 𝐨𝐟 𝐁𝐡𝐮𝐭𝐚𝐧 𝐚𝐧𝐝 𝐭𝐡𝐞 𝐑𝐞𝐩𝐮𝐛𝐥𝐢𝐜 𝐨𝐟 𝐒𝐢𝐧𝐠𝐚𝐩𝐨𝐫𝐞 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐄𝐥𝐢𝐦𝐢𝐧𝐚𝐭𝐢𝐨𝐧 𝐨𝐟 𝐃𝐨𝐮𝐛𝐥𝐞 𝐓𝐚𝐱𝐚𝐭𝐢𝐨𝐧 𝐰𝐢𝐭𝐡 𝐫𝐞𝐬𝐩𝐞𝐜𝐭 𝐭𝐨 𝐓𝐚𝐱𝐞𝐬 𝐨𝐧 𝐈𝐧𝐜𝐨𝐦𝐞 𝐚𝐧𝐝 𝐭𝐡𝐞 𝐏𝐫𝐞𝐯𝐞𝐧𝐭𝐢𝐨𝐧 𝐨𝐟 𝐓𝐚𝐱 𝐄𝐯𝐚𝐬𝐢𝐨𝐧 𝐚𝐧𝐝 𝐀𝐯𝐨𝐢𝐝𝐚𝐧𝐜𝐞

The Finance Minister, as Member In-charge, introduced the Agreement between the Kingdom of Bhutan and the Republic of Singapore for the Elimination of Double Taxation with respect to Taxes on Income and the Prevention of Tax Evasion and Avoidance to the House today. The Agreement aims to eliminate double taxation on income between Bhutan and Singapore and to prevent tax evasion and avoidance. It provides a bilateral framework for allocating taxing rights between the two countries, ensuring that income arising from cross-border economic activities is not taxed twice and establishing mechanisms for administrative cooperation, exchange of information, and mutual agreement procedures.

The motion was seconded by the Member from the Dophuchen-Tading constituency. The Agreement is Bhutan’s third bilateral tax treaty and is aligned with the Organisation for Economic Co-operation and Development Model Convention. It is expected to strengthen trade and investment by enhancing tax certainty, reducing tax-related barriers, and promoting cross-border business activities. The Agreement also recognizes Gelephu Mindfulness City within the treaty framework, taking into account its distinct tax regime while maintaining a single bilateral treaty relationship with Singapore.

The Minister informed the House that the Agreement was negotiated over two rounds, with the first round held in Paro in March 2025 and the final round concluded in Singapore in March 2026. The Agreement is scheduled to be signed on 12 May 2026 in Singapore, and ratification by Parliament is required for it to enter into force. Upon ratification by both countries and exchange of notifications through diplomatic channels, the provisions of the Agreement will take effect in accordance with Article 29.

The House referred the Agreement to the Legislative Committee for review and directed the Committee to submit its review report on 26 May 2026 for Third Reading.

𝟑. 𝐌𝐮𝐭𝐮𝐚𝐥 𝐋𝐞𝐠𝐚𝐥 𝐀𝐬𝐬𝐢𝐬𝐭𝐚𝐧𝐜𝐞 𝐢𝐧 𝐂𝐫𝐢𝐦𝐢𝐧𝐚𝐥 𝐌𝐚𝐭𝐭𝐞𝐫𝐬 𝐁𝐢𝐥𝐥 𝐨𝐟 𝐁𝐡𝐮𝐭𝐚𝐧 𝟐𝟎𝟐𝟔

The Minister of Home Affairs, as the Member-In-Charge, introduced the Mutual Legal Assistance in Criminal Matters Bill of Bhutan 2026 in the National Assembly. The Bill aims to strengthen international cooperation in criminal matters and enhance Bhutan’s legal framework for addressing money laundering, terrorist financing, transnational organized crimes, and related offences. It seeks to establish a comprehensive legal mechanism for cooperation between countries in investigations, prosecutions, and judicial proceedings involving cross-border crimes. The motion was seconded by the Member from the Khamaed-Lunana constituency.

The Bill is also expected to address key gaps identified during Bhutan’s evaluation by the Asia Pacific Group on Anti-Money Laundering and Countering the Financing of Terrorism (APG). It proposes clear roles and responsibilities for the Central Authority, competent authorities, and law enforcement agencies in handling Mutual Legal Assistance matters. The Bill further seeks to improve Bhutan’s compliance with international standards, strengthen the criminal justice system, and provide legal status to the Department of Law and Order as the Central Authority for MLA. It is also expected to support regional and international conventions, including BIMSTEC cooperation on counter terrorism and transnational crimes.

The House referred the Bill to the Human Rights and Foreign Relations Committee for further review and presentation of its report in the winter session of the Parliament for the Third Reading.

𝟒. 𝐓𝐡𝐞 𝐈𝐧𝐬𝐨𝐥𝐯𝐞𝐧𝐜𝐲 𝐚𝐧𝐝 𝐑𝐞𝐡𝐚𝐛𝐢𝐥𝐢𝐭𝐚𝐭𝐢𝐨𝐧 𝐁𝐢𝐥𝐥, 𝟐𝟎𝟐𝟓 The Minister for Industry, Commerce and Employment, as the Member-In-Charge, introduced the Insolvency and Rehabilitation Bill of Bhutan 2025 in the National Assembly. The Bill aims to establish a modern and comprehensive insolvency framework to support businesses, MSMEs, and individuals facing financial distress. It seeks to strengthen Bhutan’s credit environment, support entrepreneurship, protect jobs, and encourage investment through efficient insolvency resolution and rehabilitation mechanisms.

The motion was seconded by the Member from Thrimshing-Kangpara constituency. The Bill is also expected to address key challenges under the existing Bankruptcy Act of 1999, which has remained unimplemented for over two decades. The proposed legislation introduces differentiated procedures for individuals, MSMEs, and corporate debtors, promotes business rescue over liquidation, provides mechanisms for cross-border insolvency cooperation, and establishes regulatory oversight for insolvency practitioners. The Bill further proposes simplified and accessible procedures, institutional capacity-building, and the designation of the Corporate Regulatory Authority as the Insolvency Administration Office to ensure effective implementation and transparency. The House concurred with the introduction of the Bill and assigned it to the Legislative Committee for further review and presentation of its report in the winter session of the Parliament for the Third Reading.

𝟓. 𝐂𝐨𝐧𝐯𝐞𝐧𝐭𝐢𝐨𝐧 𝐨𝐧 𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐂𝐢𝐯𝐢𝐥 𝐀𝐯𝐢𝐚𝐭𝐢𝐨𝐧 (𝐀𝐦𝐞𝐧𝐝𝐦𝐞𝐧𝐭)

The Minister for the Ministry of Infrastructure and Transport, as Member In-charge, introduced the Convention on International Civil Aviation (Amendment) to the House. The proposed ratification concerns the amendments to Articles 50(a) and 56 of the Chicago Convention, which were adopted during the 39th Assembly of the International Civil Aviation Organization in 2016. The motion was seconded by the Member from the Bji-Kartshog-Uesu constituency.

The amendments are aimed at increasing the membership of the ICAO Council from 36 to 40 members under Article 50(a), and the Air Navigation Commission from 19 to 21 members under Article 56. The proposed changes are intended to enhance broader representation of Contracting States and strengthen technical expertise in international civil aviation governance. Bhutan ratified the Chicago Convention on 17 May 1989 and, as a Contracting State, the ratification of these amendments would further strengthen Bhutan’s prospects for representation in the ICAO Council and the Air Navigation Commission, thereby enhancing its participation in global civil aviation decision-making. The Ministry informed the House that the amendments are institutional in nature and do not require changes to Bhutan’s existing aviation laws or administrative procedures.

The House referred the Convention to the Human Rights and Foreign Relations Committee for further review and directed the Committee to submit its review report on 27 May 2026 for the Third Reading.