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Report to be soon out on those who slip through the tax net

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Acting Minister of Finance Ranjith Siyambalapitiya

by Sanath Nanayakkare

Acting Minister of Finance Ranjith Siyambalapitiya told the media recently that he is making a report on tax evasions and ways to bring those who evade taxes under the tax net and the complete report would be presented to President Ranil Wickremesinghe on June1.

“Sri Lanka is one of the few countries in the world pursuing the hardest fiscal targets to restore stability, therefore, nothing matters more to reach these targets than maintaining the country’s fiscal discipline and this report is primarily aimed at increasing state revenue,” he said.

Further speaking he said:

“Sri Lanka has been carrying a large budget deficit over the years. The IMF has asked us to maintain our budget deficit at 13% percent of the Gross Domestic Product (GDP) if we are to get out of the serous fiscal imbalances. But the challenge here is currently this ratio stands at 25%. This means we have to cut the budget deficit by half in the next few years. This is going to be a very difficult task for the Ministry of Finance and the government. There are two ways to do it. One is by increasing state revenue and the other is by reducing state expenditure. At present there is no room for the government to increase state revenue through taxes because we have already come to a maximum tax-increase threshold. So what we have to do is expanding the tax base to ensure a structurally sound revenue level. There are people and businesses that make taxable earnings but still do not pay due taxes. They keep evading taxes.”

“These days I am making a report on how these individuals manage to slip through the tax net and how they can be brought under it. This report is also being made with the objective of eliminating the need for levying taxes from the same industries and investments and professionals and establishing a neutral tax code for all taxable entities and individuals. I will be handing this report to President Ranil Wickremesinghe on 1st June 2023,” he said.

The International Monetary Fund (IMF) said recently that Sri Lanka’s tax reforms were necessary for the cash-strapped country to regain the confidence of creditors, following which hikes in taxes and utility bills came into effect.

President Ranil Wickremesinghe who is also the finance minister hiked corporate tax to 30 per cent from 24 per cent in January 2023, after raising Value Added Tax (VAT) to 15 per cent last year. He introduced tax hikes with effect from January 2023 widely believed to be on demand by the IMF.

“Sri Lanka is among the countries to collect the least amount of fiscal revenue in the world, with tax revenue to GDP ratio at only 7.3 per cent in 2021. External creditors are not willing to provide financing to fill this gap”, the IMF said in a recent statement.

President Wickremesinghe said in Aranayake on May 20 that the IMF imposed tough conditions on Sri Lanka but the authorities had no other option but to seek its assistance.

“Similar conditions were presented to consecutive governments during negotiations with the IMF in the past and they withdrew from transactions with the IMF and I was one of them. But today we have to follow through the IMF programme as what is prescribed in it is what the country should do to achieve stability in the long term. I believe it will be possible to complete the debt restructuring programme by September this year, recommence paying our suspended loans and get rid of our declared bankrupt status,” he said.



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APHNH aims to make Sri Lanka more competitive for healthcare investment

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Deputy Minister of Health and Mass Media, Dr. Hansaka Wijemuni addresses the audience

Sri Lanka private healthcare leaders recently pledged an action plan with timelines to address the practical priorities of Sri Lanka’s healthcare sector while making it more viable for local and foreign investments.

The Association of Private Hospitals and Nursing Homes (APHNH) has committed to converting recommendations from its first Healthcare Leadership Summit into a trackable outcome document with defined actions, responsibilities, and timelines, marking a shift from discussion to implementation in sector reform efforts.

The summit held on March 9 at Waters Edge, Colombo, brought together hospital leaders, policymakers, regulators, insurers, and international experts to address practical priorities for Sri Lanka’s healthcare sector.

A key outcome of the summit was APHNH’s plan to consolidate recommendations into a single, trackable charter that will outline specific actions, assign responsibilities, establish timelines, and provide periodic progress updates.

“Our objective is to bring the right decision-makers into one room and focus on what can be implemented, not only what can be discussed, ” said Raveen Wickremesinghe, President of APHNH. “We are committed to taking the inputs from today and converting them into a clear, trackable set of actions that strengthens quality, transparency and public confidence, while supporting national health priorities. “

The summit featured insights from Dr. Hafeez Rahman Padiyath, Dr. Hamdani Anver, and Chandana L. Aluthgama on scaling quality and operational discipline. A keynote and fireside discussion with Dr. Paiboon Eksangsri, President of the Private Hospital Association of Thailand, explored lessons from Thailand’s private healthcare development and conditions for making Sri Lanka more competitive for healthcare investment.

By Sanath Nanayakkare

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Atlas SipSavi Naththal Poronduwa records positive public participation, benefiting 10,000 students

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Atlas, Sri Lanka’s No. 1 learning brand, successfully concluded Atlas SipSavi Naththal Poronduwa, a national initiative that saw strong public participation in supporting children at risk of dropping out of school due to financial hardship. At a time when more than 22,000 Sri Lankan children leave school each year due to rising economic challenges, the initiative reinforced Atlas Sipsavi’s long-standing ‘No Child Left Behind’ promise by turning seasonal generosity into meaningful educational support.

The initiative reached 10,000 students, with beneficiary schools carefully selected to ensure support reached those most in need. The collected books were distributed to children at risk of dropping out, including those whose education had been disrupted by recent adverse weather, ensuring students had essential learning resources at the start of the new school term. Through its flagship Atlas SipSavi programme, the brand focused on improving access to education by providing essential learning tools, scholarships, and infrastructure to create better learning environments, bringing its purpose of ‘making learning fun’ to life in a meaningful way. As part of the initiative, the public was invited to donate schoolbooks, with each contribution matched one-for-one by Atlas. Donation boxes were placed at all Keells outlets island-wide and at Sarvodaya District Offices, making it easy for communities to take part.

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John Keells Logistics expands strategic engagement with CWIT through inter-terminal transport operations

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Representing JKLL: Lasitha Manchanayake: CEO, Dilum Liyanage: Snr. Manager - Transport Operations, Kavinda Jayasinghe: Manager - Operations and Randi Peiris: Asst. Manager - Commercial. Representing the John Keells Group: Zafir Hashim: President - Transportation, Plantations and IT Sectors and Asha Perera: CFO. Representing CWIT: Munish Kanwar: CEO, Iresh Siriwardena: COO, Devanshu Bhatia: Head of Techno Commercial, Madhuranga Wijesekara: In Charge - GATE Process, Sandun Niroshan: Duty Manager.

John Keells Logistics (Pvt) Ltd (JKLL), one of Sri Lanka’s leading third-party logistics solutions providers, has successfully expanded its operational engagement with Colombo West International Terminal (Private) Limited (CWIT), through inter-terminal transport services within the Port of Colombo. This enhanced engagement further strengthens CWIT’s efforts to improve operational efficiency, reliability, and scalability across terminal activities.

Inter-terminal transport plays a critical role in modern port operations, requiring high levels of coordination, precision, and operational discipline. JKLL’s appointment for ITT operations reflects CWIT’s confidence in the company’s demonstrated capabilities in managing complex transport operations within a high-throughput port environment.

The ITT operations are underpinned by JKLL’s technology-enabled logistics framework, incorporating real-time fleet tracking, performance monitoring systems, and data-driven operational planning. These capabilities provide enhanced visibility and control over transport movements, while ensuring compliance with established safety, productivity, and service quality standards.

The awarding of this engagement to JKLL is a testament to the successful implementation of the Inter-Terminal Vehicle (ITV) operations undertaken by John Keells Logistics at CWIT during the previous year. The ITV assignment was executed through structured operating procedures and disciplined service delivery, contributing to improved cargo movement, operational coordination, and service continuity within the terminal. The performance outcomes of the ITV operations provided the basis for the subsequent expansion of the partnership into ITT services.

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