News
Uncollected taxes, penalties and interest now amount to Rs 943 bn
IRD won’t takeover RAMIS for want of qualified personnel
By Shamindra Ferdinando
The Inland Revenue Department (IRD) has told the parliamentary watchdog Committee on Public Accounts (COPA) that it couldn’t fully take over the Revenue Administration Management Information System aka RAMIS for want of sufficient number of qualified personnel.
Top management of the IRD said so when COPA Chairman Lasantha Alagiyawanna (SLPP), during proceedings, asked them whether they could run RAMIS on its own. This is Alagiyawanna’s second stint as COPA Chairman.
According to a press release dated Nov 18 issued by Janakantha Silva, Parliament Director Legislative Services / Director Communication (Acting), the IRD management had declined to operate RAMIS on its own due to the absence of required personnel. The IRD comes under the Finance Ministry.
The shocking claim of being understaffed has been made, just two days after President Ranil Wickremesinghe, in his capacity as the Finance Minister projected a total tax revenue at 4.1 trillion rupees for next year, sharply higher than 2.85 trillion rupees in the current year, with the biggest jump coming from the goods and services tax receipts.
Lawmaker Alagiyawanna, who is also the State transport Minister has called for a comprehensive report on the tax collected under various clarifications, as well as uncollected taxes, penalties and interests, amounting to Rs 943 bn.
The Island yesterday (19) sought an explanation from State Minister Alagiyawanna regarding the failure on the part of successive governments, including the Wickremesinghe-Rajapaksa administration, to streamline revenue collection, particularly against the suspension of the USD 2.9 bn IMF loan package, due to revenue shortfall.
Lawmaker Alagiyawanna acknowledged that the government was struggling with the issue. In spite of spending as much as Rs 17 bn on RAMIS, the system is not fully functional, the COPA Chief said, adding that collection of unpaid taxes remained a daunting task.
According to COPA records, in terms of both RAMIS and Legacy systems, unpaid taxes, penalties and interests as at Dec 31, 2022 amounted to Rs 904 bn. The SLFPer said they hadn’t been able to overcome problems and various issues relating to massive arrears in tax payments though many discussions took place over the years. As at June 30, 2022, the total amount of arrears in taxes, penalties, and interest amounted to Rs. 773 bn.
Responding to another query, the State Minister said that the government was yet to make a permanent appointment for the post of Commissioner General, IRD. The post fell vacant over three months ago. D.U.A. Jayawardhana currently serves as Commissioner General, in an acting capacity.
Auditor General W.P.C. Wickremeratne has complained to COPA that the IRD continuously refused to divulge contractual information as per the terms and conditions of the agreement with the Singaporean company, NCS, a subsidiary of Singapore’s Singtel. Wickremeratne has questioned the rationale in the IRD’s refusal, claiming that the agreement is technically between the two governments.
State Minister Alagiyawanne said that the arrears in uncollected taxes, penalties and interests continued to grow rapidly over the years as successive governments struggled to cope up with the revenue collection system, comprising IRD, Customs and Excise.
Former Minister and ex-Chairman COPE Dew Gunasekera told The Island that the government should immediately take tangible measures to streamline revenue collection. The former Communist Party Chief and former IRD officer emphasized that the government’s goal should be to gradually bring down the total amount of arrears in taxes, penalties and interest. A cohesive action plan is required to address this issue, the ex-lawmaker said, calling for an all-party consensus on this matter as the economy was in dire straits.
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President and Attorney General discuss controversial legal proceedings
President Anura Kumara Disanayake held a discussion with the Attorney General and officials from the Attorney General’s Department at the Presidential Secretariat today (06).
During the discussion, the President emphasized the importance of coordinated efforts among all institutions working towards the effective enforcement of the law.
President Disanayake also highlighted the critical responsibility of the Attorney General’s Department to restore public confidence in the judicial system. He further stressed that public perception regarding political interference must be transformed to ensure trust in the legal process.
The President reiterated the government’s commitment to avoiding any actions that could erode public expectations. He assured that efforts are being made to re-establish confidence in the justice system and restore the principles of fairness and equity in the eyes of the people.
The meeting was attended by Minister of Justice and National Integration Harshana Nanayakkara, Secretary to the Ministry of Public Security Ravi Seneviratne, Attorney General Parinda Ranasinghe PC, along with several officials from the Attorney General’s Department.
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Narcotics and prescription drugs valued over Rs. 28158 million seized during naval operations in 2024
The Navy’s operations in 2024 yielded impressive results, bringing to justice 407 persons, both local and foreign, involved in a wide array of illegal acts such as smuggling of narcotics, prescription drugs, and contraband as well as apprehending those involved in human smuggling. These operations were conducted in close coordination with law enforcement agencies and maritime partners in the region. Meanwhile, the gross street value of narcotics and prescription drugs seized in these operations has been valued at over Rs. 28158 million.
The Sri Lanka Navy consistently carries out operations in partnership with regional maritime partners, to address an assortment of illicit activities, including drug trafficking, within the ocean region.
The Navy has collaborated closely with the Sri Lanka Police, Police Narcotic Bureau, Police STF, Excise Department and other law enforcement agencies as well as the Indian Navy and Maldivian Coast Guard, actively sharing information during these operations. In such operations conducted in 2024, significant quantities of illicit substances were seized, including more than 622kg of heroin worth [street value] over Rs. 15554 million , more than 1211kg of Crystal Methamphetamine (ICE) worth over Rs. 11508 million, more than 1752kg of Kerala cannabis worth over Rs. 700 million, more than 119kg of local cannabis worth over Rs. 23 million and 1,179,746 prescription drugs worth over Rs. 373 million. In addition, based on information by the Navy, the Police and Police STF destroyed 107626 plants of local cannabis.
Additionally, 21 local fishing boats along with 230 individuals suspected of involvement in drug trafficking have been apprehended and produced for onward legal action. Accordingly, the gross street value of narcotics and prescription drugs held in the operations in the past year has been valued at over Rs. 28158 million.
Also, the Navy has apprehended 02 suspects attempting to illegally sell 226 bottles of liquor as well as 234670 illegal cigarettes, 972 aphrodisiacs (madana modaka) drug pills and 52 suspects in connection to those illegal acts. Moreover, 11 elephant pearls and over 04kg of gold, made ready to be smuggled from the country, with 14 suspects were held as part of the naval operations in the year 2024. Apart from that, the Navy intercepted a craft with 05 individuals, for smuggling wild animals, through island waters.
The Navy also seized over 65687kg of smuggled Tendu leaves, more than 7272kg of dried turmeric, over 368kg of ginger, 8330 bottles and 56786 packets of agrochemical, 727 cosmetic products and apprehended 81 Sri Lankan nationals, 03 Indian nationals and an Indian dhow in the past year. Preventive of human smuggling and illegal migration efforts, the Navy held 01 boat from India and 20 persons for their involvement in human smuggling. Upon being held, they were handed over to authorities for legal proceedings.
As part of the “Clean Sri Lanka” national initiative, the Sri Lanka Navy has strategized its operations for 2025, aiming to combat illegal activities, including drug trafficking in the country’s maritime zones, promote maritime stability, and support the realization of Sri Lanka’s national maritime aspirations.
[Navy Media]
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A new Chairman and Members appointed to Official Languages Commission
President Anura Kumara Disanayake has appointed Mr. Nimal R. Ranawaka as the new Chairman of the Official Languages Commission.
The other members of the commission include Professor R.M.W. Rajapaksha, Professor Stanislaus Joseph Yogarajah, and Ms. Lareena Abdul Haq.
The appointment letters were presented today (06) at the Presidential Secretariat by the Secretary to the President, Dr. Nandika Sanath Kumanayake.
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