27 November, 2020

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President Contemplating Revising VAT Hike, Crucial Meeting Today

President Maithripala Sirisena has called for a meeting with senior officials of the Inland Revenue Department and the Ministry of Finance today, to review the recent Value Added Tax (VAT) hike.

Maithripala Sirisena

Maithripala Sirisena

The meeting comes amidst increasing protests by the public against the hike, which came into effect in May this year. According to sources, Sirisena is looking at the possibility of bringing down the tax at least on certain items from it’s current 15%.

Prime Minister Ranil Wickremesinghe led government increased VAT from 11% to 15% in May, resulting in the cost of living skyrocketing.

In April, Srisena vowed to send home advisors who recommended a tax increase, however despite the declaration, the Government went ahead and increased VAT in May, but no officials have been sent home since then.

Currently, VAT is also charged on essential medical services including in the consultation of doctors at private hospitals.

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Latest comments

  • 5
    6

    Nice to see that the President is considering due to PUBLIC outcry….was this possibke during MRs regime..where Gota white vanned thise who opposed their ideas? Glad we kicj3d Jarapassas to medumalana…where they should rot…

    • 3
      3

      I think current president is no means comparable to anyone in the past. He focuses on every facets when making decisions. Even if MR is said to have 45 years experience in lanken parliamentarry politics, he di dnot allow others to discuss with him, his was almost like that of Mugabe or Gadafi. The nature of incumbent president is even if he is being attacked by lower educated via Social Media, he has the all strength to fulfil it with best practices. As such the way he ended up the AM former CBGs issue. His was made very bad in local media due to MR biased lanken media, be there had been a truth or not. hOWEVER the sums to have gone missing are hypothetical, but some could argue it various ways. However, to keep the same even after his name is clear, shold not be the case, since we cant change the opinions of the masses within days. It can take longer than ever think, to change their attitudes…. it was stigmatised that the scam was the biggst fraud.. mitigating all real thefts and stealings that really occured DURING the last days of MR in office.

      • 5
        1

        The president is the best president for the federalists and the diaspora. He won a mandate by the vote of the minorities both religious and ethnic, He has given a free hand to the arch enemy of this country. This arch enemy did appoint the former governor of CB even though it was incumbent on the country’s elected president to appoint him. When the bond scam was perpetrated one month after assuming office the president was not to be seen or heard . So the committee of inquiry appointed comprised three UNP lawyers, cos friends of the fore said enemy.

  • 3
    2

    VAT is not the problem for small traders but the complex VAT computation Introduced by that donkey G.L Pieris . What U should do is introduce BTT to small traders and others with an annual turnover above 20 million.

  • 3
    6

    President MS.
    However you try to be Broadminded and impartial to the Minority
    You will never win the Racists and Racism trodden country CALLED SRILANKA.
    Its rotten to core No return worshipping Secularism , Nepotism And Greed, which was caused by you and the Majority Parliament for more than a century in our land.
    Your country is cursed by these Racists Who will never see any Positivity or Progress in our Land.

    These are the evil seeds you sowed over the years of Racism.
    Please try to irradicate before showing green leaves .

    You’re just Fooling yourself , Minorities and the UNHRC.

    Remember the word CANCEROUS , Nowadays it’s Preventable and Treatable in the Modern World. If you have the Guts and the Will power. YOU CAN BE A TRUE WORLD STATESMAN. OTHERWISE BE A TIN POT BANANA REPUBLIC IDIOT.
    YOU DECIDE.

    • 3
      0

      Analyst,
      What the hell wrong with you?????? This is about VAT and its effect on the nation, not about racism. Some idiots like you will continue to find something to blame sinhala race. Isn’t it evident this trend by your posting. Just tell me how the main topic is connected to your views on racism. Try another newspaper or a social media like some of you do.

    • 0
      0

      Analyst

      “Your country is cursed by these Racists Who will never see any Positivity or Progress in our Land.”

      Correction:

      Your country is cursed by these Racists and Idiots whose Average IQ is 79 who will never see any Positivism or Progress in our Land.

      National IQ Scores – Country Rankings

      http://www.photius.com/rankings/national_iq_scores_country_ranks.html

      Are the IQ’s of the Population bi-modally distributed, just like the bi-modal distribution of a segment, the Tamils?

      The Story Of Two Graphs drawn by A Tamil Man: By Mahesan Niranjan.

      Onion Prices, Coconut Prices and Tamil IQ and Sinhala IQ Distributions?

      It is is applicable to one set of Paras, then it should be equally applicable the next set of Paras. after all they all have the Para Genes!

      https://www.colombotelegraph.com/index.php/the-story-of-two-graphs-drawn-by-a-tamil-man/onioniqdistributions/

      https://www.colombotelegraph.com/index.php/the-story-of-two-graphs-drawn-by-a-tamil-man/

  • 5
    0

    Dear President,
    The FM says only 48000 tax payers’ files with the dept and as such the need to impose other taxes VAT, Capital Gains and so forth to further burden the citizens of this country.
    The inefficient and corrupt “PUBLIC SECTOR” has piggy-backed on the private sector long enough; Why not reintroduce income tax payable by the bloated public sector employees and share the tax burden between the private and public sector. After all the public sector for doing bugger-all benefits immensely from govt sponsored foreign scholarships, duty free vehicles, housing, etc so why not pay income taxes? The private sector is on the receiving end of all the crap dished out by the govt and public sector and end up paying taxes for the whole nation. This is why there is a general tendency to avoid paying taxes. IF YOU MAKE INCOME TAXES PAYABLE BY ALL i.e. REINTRODUCE PUBLIC SECTOR EMPLOYEES TO PAY INCOME TAX, THEN THE GOVT REVENUE COLLECTION WILL IMPROVE A GREAT DEAL AND THE GOVT CAN DO AWAY WITH THE VAT AND CAPITAL GAINS TAXES.

  • 5
    0

    Dear Mr President and Prime minister, kindly place genuine people on critical govt revenue points, if all the revenues are accounted properly, these VAT are not needed. Almost all govt revenues instead coming to the treasury, it’s going to individual pockets. The corrupt officials are minting money. Establish a team to audit land and property purchase, Including MP’s and their associates. Call for pvt bank clients lists and track the cash movements. At airport FEB members collect money but NO receipts. At customs goods are undervalued, properties undervalued, Inland revenue is outland revenue. People who lost their properties due to various reasons are cheated and lands goes to people who are not effected. I can write an essays. CT please fwd to the addressee. More to follow. Thank you and GOD BLESS SRILANKA! !!!

  • 5
    1

    The President presides over cabinet meetings and is hence part and parcel of the decision making process. Why is he trying to distance himself from such decisions when they turn out to be unpopular. Did he not understand such decisions were necessary and their implications? What is the new game he is playing?

    Why does he not put an end to duty free cars for MPs , cabinet ministers and senior public servants? These permits are unpopular too and are unnecessary!

    Dr.Rajasingham Narendran

    • 0
      1

      You yourself know that they have kept those cars in their lodges yet – no enough vehicles have been found. And the fact Lamboginis were shown only durin the days of maharaja s Amok runs.. them to have kept in hidden places by now, explain everything. Just the media men should reveal them – so long the media men woudl continue licking the asses of Rajano et al, people will stay miles away from the truths, but the truths.

  • 3
    0

    Long ago I read somewhere that there was a colony for beggars in Ridiyagama. But the biggest collection of beggars in Sri Lanka is to be found in the Inland Revenue Department and the Ministry of Finance. Even the most ordinary and mundane things that are consumed by the average citizen are regarded as sinful luxuries by these beggars in this Government Department and Ministry, respectively.

    Examples of items that are regarded as luxuries by these people are liquor, cigarettes, broiler chicken, chocolate, ice cream, phone calls, Internet data and even brassieres, panties and sanitary napkins, to name a few!

  • 0
    0

    Though silent; people genuinely respect our new president.

    Please let me mention another indirect tax burden upon people.

    Innocent people are dragged to gamble for political carnivals of easy going politicians.

    Gambling has been made a habit of them, what a crime?

    How many lotteries a day, please stop them and see the possibility of punishing those who pushed our people to gamble.

    Give dignity for labor and let people pay directly for their needs.

  • 2
    2

    Yahapalana suckers alone can’t pay the expenses of Bodi Sira and his Blue Team and Batalanada Ranil and his Green Govt for them to stay in power.

    VAT is the only way the Dalits can be forced to pay ..

    Batalanada Ranil may be not that smart, but he knows how to tax the Dalits.

    Anyway the more important issues facing our inhabitants are the most recent demands of the Vellala party leader Sambnandan and his mentor UN Chief Bedouin Prince who in unison want the PTA demolished.

    7 Japaanese are dead.

    11 Italians are dead.

    All in Bangaladesh last Friday

    And our inhabitants know how many Japanese died in Katunayaka.

    Does the Bedouin Prince still want his Yahapalana mates Batalanada Ranil and Mangalan to repeal the PTA?.

    That is what Bodhi Sira must tell the inhabitants as well as Assath Sally .

    And get our Military Intelligence Unit out of Batalanada’s Yahapalana jail to protect our inhabitants…

    • 2
      0

      KASmaalam KA Sumanasekera

      “VAT is the only way the Dalits can be forced to pay ..”

      Do you know what the VAT rates are at present?

      The government should introduce another band (75%) if it wants to help Dalits. The new band should be imposed on all liqueur imported and distilled here, and all imported luxury goods, including imported bacon, golf equipment, nike products, …… prostitutes.

  • 1
    0

    The govt. is getting the priorities mixed up. Last month the Govt.
    was busy with the waiving of taxes on new cars for the MPs, while floods and land slides ruined the country and Govt. incurred heavy expenses. This week, it is the VAT. The last budget was revised over ten times to suit the demands of the public and today the govt. is
    trying ways to reduce the taxes on certain items through protest by
    the people and only now the govt. has realised that C.O.L has sky
    rocketed.

    One wonders as to why the presidential advisers, holding doctorates
    and PHDs. are kept there for, warming the chairs. Do they not foresee these problems cropping up before the taxes are increased and Budgets are prepared and is it not their duty to pre warn the govt.to take necessary measures to prevent public backlash. A govt. cannot run a country with collecting taxers and at times more taxes but that should be done in stages and at the appropriate time & when there is a dire need. There is no meaning in hitting the poor by raising the taxes and at the same time waive off taxes for vehicles for MPs and allow lavish spending on Govt. travels & other govt. extravaganza .

    This type of governance will lead only to distrust by the public and induce anger at the ruling govt.

  • 0
    0

    Ethakota Vat manggnookka magey sudu bonikka you are my one and only Kandy lammisi. Sweet Marie, come to me, you are my one and only Kandy lammissi. Sirisena is the Kandy Lammissi in this game. It was Namal baba earlier. Now his son is Advisor Foreign affairs and daughter is Presidents house receptionist. That is ok; almost all presidents had their daughters, or relatives to be the House manager at President’s house. But how the hell is the Son a foreign policy advisor? Did Daham have to pay VAT on the foreign money (unexplained by Sirisena maama) he used to get himself civilized, and speak English like the Bandaranaike kids? Did he really get a degree in foreign relations? So nawa gilunath band chuun. Apita VAT unta BAT.

    Anyone remember VAT69 the cheaper blended Scotch on par with Black & White? Of course Rich Sinhala weerayas who made their money illegally whether they are in the Sirisena camp or Ranil camp have graduated and gone to Blue label JW and occassionally “come down” to Black Label JW. The masses still drink Pol and Gal from CDCSL.

    So is there VAT on VAT69 and other whisky? Jolly good cheaper blended scotch for the masses who bring masses of cash labouring, getting raped, abused, beaten and burnt in 47Celsius heat in Arabistani lands including Saudi Arabia from where the Wahabi Jihadis come.

  • 2
    0

    What does Prez know about VAT…………..Though The President presides over cabinet meetings and is hence part and parcel of the decision making process. Why is he trying to distance himself from such decisions when they turn out to be unpopular ?????

    He was even more naive about BONDS or else he would have taken action much earlier and could have prevented the dubious 02nd BOND issue that took place in 2016.

    PhD & Doctorate Presidential advisors have to listen to the Prez and not Vice versa. Otherwise how come there could be this much lopsided thinking? They are there for the show & to be surrounded.

    The President is cosying himself for the future. Turned 02 houses on Paget Road into One. At the end of 06 years with a big fat pension with Govt cars and Servants and Secretaries will retire into sunset on the backs of the poor masses.

    • 1
      0

      Chathu Sira and Daham Sira have to live in the Megapolis to give the Elite Yahapalanaya going forward.

      One, they can’t travel all the way from Pollonnaruwa to do it.

      Two Pollonnarura wouldn’t have ennough Elite , and Anglicans to vote for them.

      Joining the two houses makes perfect sense..

      I mean the poor kids can’t put Sira in to a retirement home ,like our Diaspora and the Colombo Elite do to their beloved parents, even if they are on the beach side , with Kerala nurses to look after them after Batalanada Ranil’s ECTA kicke in..

      Is it ECTA or ETCA, Doesn’t matter,

      With so many of these Yahapalana goodies like , VAT, GPS, FJs ,HCs, ECTA, S Bonds, T Bonds L Bonds ,BTA, TFS, LGBT, SAITAM and soooo many others , even I am confused.

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