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Speaker receives copies of seven petitions filed in SC against proposed Finance Bill

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By Saman Indrajith

Speaker Mahinda Yapa Abeywardena yesterday told Parliament that he had received copies of seven petitions that had been filed in the Supreme Court against certain provisions in the Finance Bill introduced by the government to grant amnesty to tax evaders.

The petitions had been submitted as per the provisions of the Article 121(1) of the Constitution, the Speaker announced at the commencement of sittings yesterday.

The petitioners claimed that the provisions of the draft were inconsistent with the constitution and would require the bill to be passed by a special majority in Parliament and by the people at a referendum.

The bill was presented to Parliament last week. Under the provisions of the proposed bill if a person fails to disclose the taxable assets and is willing to immediately invest the equivalent amount in the country, he or she can invest in other financial instruments such as purchase of shares of a resident company, treasury bills or treasury bonds issued by the Central Bank, debt securities issued by a resident company in Sri Lanka or buy any movable or immovable property in Sri Lanka. This section of the bill will come into effect on or after the date of commencement of this Act, but prior to December 31. On voluntary disclosure, a one per cent nominal tax would be payable.

In his SC petition, SJB MP Eran Wickramaratne noted that the bill granted full immunity, also referred to as a ‘tax amnesty’ from liability to pay any tax, penalty or interest, or from any investigation or prosecution. It noted that the sum to be collected as a ‘Tax on Voluntary Disclosure’ of 1% of the sum disclosed is far lower than the tax liability of the persons who have already paid tax in terms of applicable existing law.

The grant of the tax amnesty would legitimise fraud on revenue perpetrated by those to whom the amnesty is granted, the petitioner argued.



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Navy seize 03 Indian fishing boats poaching in Sri Lankan waters north of Mannar

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The Sri Lanka Navy and Coast Guard seized 03 Indian fishing boats and apprehend 33 Indian fishermen while they were poaching in Sri Lankan waters, during special operations conducted in the sea area north of Mannar on 25 and 26 Jan 25.

The seized boats (03) together with Indian fishermen (33) were brought to the island of Iranativu and they will be handed over to the Assistant Directorate of Fisheries, Kilinochchi for onward legal proceedings.

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Election campaign finance laws must be tightened, says PAFFREL

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Rohana Hettiarachchi

By Rathindra Kuruwita

The election campaign finance laws should be amended to allow the automatic disqualification of candidates who fail to submit expense reports on time, without requiring separate legal action, Executive Director of the People’s Action for Free and Fair Election (PAFFREL), Rohana Hettiarachchi proposed.

Currently, the Election Commission must pursue legal action against non-compliant candidates through the Police and the Attorney General’s Department, a process Hettiarachchi described as cumbersome and inefficient.

“This is a major issue concerning the campaign finance laws. During the 2024 presidential election 13 candidates, along with their party secretaries or nominators failed to submit their expense reports. Similarly, over 100 candidates at the Elpitiya Local Council poll and more than 1,200 who contested the November 2024 general election did not submit their reports,” he said.

Hettiarachchi explained that under current laws, legal proceedings must be initiated to penalise such individuals. “The Election Commission lodges complaints with the Police, and the Police, after consulting the Attorney General’s Department, take legal action against those who fail to submit their expense reports on time. This is a lengthy and unnecessary process as there is no investigation required. It is a straightforward case of failing to comply,” he said.

He warned of the administrative challenges this could pose at the upcoming Local Council elections. “If, for example, 10,000 candidates fail to submit their expense reports, the Election Commission, Police, and Attorney General’s Department will be overwhelmed. They would have no capacity to focus on anything other than filing cases. Similarly, the courts will be burdened with hearing these cases, leaving little room for other judicial work.”

Hettiarachchi highlighted the current penalties under campaign finance laws: a person found guilty of failing to submit expense reports loses their civic rights for three years and is required to pay a fine of Rs. 100,000.

He called for stricter reforms, proposing an extension of the civic rights suspension period from three to seven years and the immediate loss of civic rights for individuals who fail to submit their reports on time. “These measures will not only simplify enforcement but also ensure greater accountability from candidates,” he said.

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Switzerland will help SL to recover stolen assets

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Dr Siri Walt

Ambassador of Switzerland to Sri Lanka and Ambassador-designate to the Maldives, Dr Siri Walt, on Friday pledged Switzerland’s support in recovering assets that have been moved out of Sri Lanka, the President’s Media Division said.

Dr Walt gave this undertaking during a meeting held on Friday at the Presidential Secretariat with the Secretary to the President, Dr Nandika Sanath Kumanayake.

During discussions, Ambassador Walt outlined the international measures required to reclaim such assets and expressed Switzerland’s willingness to provide essential resources and assistance whenever necessary.

The discussion also focused on leveraging Switzerland’s expertise and technical knowledge to support Sri Lanka’s ongoing anti-corruption efforts.

The Swiss government reaffirmed its commitment to offering technical and financial assistance for Sri Lanka’s priority initiatives, including the “Clean Sri Lanka” programme.

The Ambassador further reiterated Switzerland’s dedication to aiding Sri Lanka in addressing social challenges, promoting national reconciliation, and supporting the development of the Northern region through targeted aid and resources.

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