News

Labour Minister opposes govt. move to tax EPF, ETF

Published

5 years ago

2022/02/10

By Saman Indrajith

Minister of Labour Nimal Siripala de Silva told Parliament yesterday that the Ministry of Labour was opposed to taxing the Employees’ Provident Fund.

Responding to a question raised by Opposition Leader Sajith Premadasa on the proposed surcharge on superannuation funds, demanding that a gazette, announcing the Surcharge Tax Bill be withdrawn, Minister de Silva said: “My stance on this matter is clear and it has already been announced. The origin of this issue is not the gazette. The Inland Revenue Department has said the income earned by investing EPF and ETF money should be taxed. Yet, our ministry’s position is clear: the EPF and ETF should not be taxed and the position of the Inland Revenue Department is wrong. We have informed the Treasury that this definition should be amended. We have also informed the Commissioner of the Department of Inland Revenue. We informed them of our position months ago,” the minister said.

Opposition Leader Premadasa: I am thankful to the minister for his honesty. The minister has told this House that his ministry is opposed to this. Then, how could the Finance Ministry issue a gazette of this nature?

UNP Leader Ranil Wickremesinghe: We must discuss this matter in the party leaders’ meeting and thereafter we can debate it here to prepare a draft to submit for the approval of Parliament to ensure that both EPF and ETF are exempted from the taxes.

Chief Opposition Whip Kandy District MP Lakshman Kiriella: We demand a debate on this matter. This is fundamentally wrong because this leads to double taxation. An EPF beneficiary would be taxed for the amount of his money. Those receiving EPF face double taxation as a tax is imposed when withdrawing the funds and the Fund will be taxed again on investments. Double taxation is against the law. Therefore, we demand a debate on this matter.

Trade Minister Bandula Gunawardena: It is during the Yahapalana time this new income tax law was passed. It is according to that law these regulations are introduced. You passed the wrong law removing the tax exemptions given to these funds.

Sports Minister Namal Rajapaksa: The new circular in question was issued as per the provisions of the Inland Revenue Act No 24 of 2017. It was your government that brought this Act. It is wrong for you to speak as if you do not know the matter. MP Kiriella demands a debate on the economy stating that he does not know of the prevailing economic situation. In the meantime, he tells in the meetings outside parliament that the economy is collapsing.

Chief Opposition Whip Kandy District MP Lakshman Kiriella: Minister Namal Rajapaksa said that it was as per the provisions of an Act passed during our time that the taxation was introduced. I ask him to read to this House the particular section from that Act enabling taxation. I challenge him to show us such a section. Can you do that?

Minister Namal Rajapaksa: Minister Bandula Gunawardena will read out the particular section to this House tomorrow.

The Chief Opposition Whip: He spoke of a section, but he does not know where it is. He does not know what he spoke of.

Earlier in the day, leader of the opposition Premadasa said the country’s current foreign reserves available for importing goods were only sufficient for three weeks. The government had failed to address the matter in the House. The government had imposed a 25 percent tax on Sri Lanka’s largest fund, the Employees’ Provident Fund, which is worth Rs.3 trillion, which generated a profit of around Rs. 250 billion. The Minister of Finance is attempting to misappropriate funds belonging to the public for implementing the ‘100,000 Projects’ through the Budget’s rural development programme.

He demanded to know whether the government was attempting to misappropriate funds amounting to Rs.65 billion from the EPF.

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Flood warning issued to the Divisional Secretariat Divisions of Ganga Ihala Korale, Udapalatha, Doluwa, Udunuwara, Yatinuwara, Gangawata Korale, Harispattuwa, and Pathadumbara

Published

5 hours ago

2026/09/20

Priyan

Due to heavy rainfall received in the upper catchment areas of the Mahaweli River over the past few hours, there is a risk of minor flooding in the low-lying areas surrounding the Mahaweli River within the Divisional Secretariat Divisions of Ganga Ihala Korale, Udapalatha, Doluwa, Udunuwara, Yatinuwara, Gangawata Korale, Harispattuwa, and Pathadumbara.Residents living in the above mentioned areas and motorists using roads passing through these areas are urged to exercise extreme caution and remain highly vigilant regarding the prevailing situation.

Furthermore, residents living in close proximity to the Mahaweli River in these areas are advised to remain highly alert to the situation and take all necessary precautions to protect themselves from any potential flooding.The relevant disaster management authorities are requested to take all necessary measures in response to this situation.

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Landslide Red Alerts issued to the districts of Kandy, Kegalle and Nuwara Eliya

Published

5 hours ago

2026/09/20

Priyan

The National Building Research Organisation [NBRO] has issued landslide Red Alerts to the districts of Kandy, Kegalle and Nuwara Eliya effective from 14:00 hrs on 20.09.2026 To 14:00 hrs on 21.09.2026

Accordingly,
LEVEL III [RED] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Pasbage Korale in the Kandy district, Dehiowita, Aranayake, Deraniyagala, Mawanella and Yatiyanthota in the Kegalle district and Kothmale West, Kotmale East, Ambagamuwa and Norwood in the Nuwara Eliya district

LEVEL II [AMBER] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Padukka in the Colombo district, Nagoda, Thawalama and Neluwa in the Galle district, Bulathsinhala, Palindanuwara, Walallawita and Agalawatta in the Kalutara district, Ganga Ihala Korale in the Kandy district, Bulathkohupitiya and Kegalle in the Kegalle district, Akuressa and Pitabeddara in the Matara district, Thalawakele in the Nuwara Eliya district and Pelmadulla, Ratnapura, Ayagama, Kuruwita and Ratnapura in the Ratnapura district.

LEVEL I [YELLOW] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Seethawaka in the Colombo district, Niyagama and Baddegama in the Galle district, Mirigama in the Gampaha district, Ingiriya in the Kalutara district, Udapalatha and Yatinuwara in the Kandy district, Galigamuwa, Warakapola and Ruwanwella in the Kegalle district, Kotapola, Pasgoda and Athuraliya in the Matara district, and Eheliyagoda, Kalawana and Elapatha in the Ratnapura district.

News

Development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common goal – PM

Published

8 hours ago

2026/09/20

Priyan

Prime Minister Dr. Harini Amarasuriya stated that development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common, people-oriented objective.

The Prime Minister made these remarks while participating in a discussion held on Friday [September 18] at the Western Province Council Auditorium to review the progress of the development project to rehabilitate Rathmalana Kandawala Road and the drainage system on either side of the road, within the Dehiwala–Mount Lavinia Municipal Council limits in the Colombo District.

The project, which commenced on September 10, 2026, is scheduled to be completed before June 30, 2027. Implemented by the Provincial Road Development Authority (PRDA), the project includes the construction of a bridge at a cost of Rs. 64 million, the rehabilitation of the drainage system at a cost of Rs. 930 million, and the rehabilitation of the road at a cost of Rs. 115 million.

The Prime Minister also paid special attention to the progress of the responsibilities assigned to the Western Province Council, the Irrigation Department and the Ratmalana Divisional Secretariat in accordance with decisions taken at the previous committee meeting. Attention was also given to the current status of the plans being carried out by the Sri Lanka Land Development Corporation (SLLRDC), as well as the construction and maintenance activities being undertaken by the Provincial Road Development Authority (PRDA).

Commending the expedite and commendable progress of the project, the Prime Minister particularly appreciated the commitment demonstrated by officials of the relevant government institutions to work in close coordination with one another and in collaboration with the political authority.

The Prime Minister also emphasised the importance of taking measures well in advance to control flooding and minimise its impact on Colombo and several other districts in view of the rainy weather that may affect the Western Province during the latter part of this year.

The meeting was attended by the Chairman of the Colombo District Coordinating Committee and Member of Parliament Lakshman Nipuna Arachchi, Chairperson of the Ratmalana Divisional Coordinating Committee and Member of Parliament Samanmalee Gunasinghe, Chairman of the Roads Sub-Committee of the Colombo District Coordinating Committee Dewananda Suraweera, Mayor of the Dehiwala–Mount Lavinia Municipal Council Parakum Shantha, Chief Secretary of the Western Province K.G. Pradeep Pushpakumara, along with a number of government officials.

[Prime Minister’s Media Division]