By Vipula Wanigasekera –

Dr. Vipula Wanigasekera

In a move that has stirred nationwide concern, the Government of Sri Lanka has made it mandatory for all citizens to obtain a Taxpayer Identification Number (TIN). While the intention may be to streamline tax administration and increase revenue transparency, the manner in which this directive is being implemented has triggered chaos—particularly among the country’s most vulnerable citizens.

Since the announcement, crowds have been flocking to Inland Revenue Department (IRD) offices. Unfortunately, the department has been woefully unprepared. There is a glaring lack of proper information, coordination, and public communication. For many Sri Lankans—especially the elderly and retired—this has become a distressing ordeal rather than a simple administrative process.

A significant number of those affected are senior citizens who have no regular income and depend entirely on the interest earned from fixed deposits. These savings are often accumulated from lifelong contributions to EPF and ETF funds. The government’s latest order compels them to furnish their TIN certificates to their respective banks, failing which, starting in April, the banks have been instructed to deduct an additional tax from their interest earnings.

This has led to long, exhausting queues at IRD offices. Many elderly individuals, some in their 70s have had to endure hours of standing with little assistance or prioritization. For people with limited mobility or chronic health issues, this is not just inconvenient—it’s cruel.

To make matters worse, the process itself is shrouded in confusion. One Grama Niladari when contacted said, this has not been made compulsory!!!. Further many depositors report being turned away from banks or given ambiguous responses. “We don’t know,” is the common refrain from bank staff when asked about the new rule. “We will deduct the extra tax if you don’t bring the TIN certificate,” they warn, adding to the panic. There have been sporadic announcements by some government officers suggesting that banks should provide time until next month, but no formal directive has been issued to ensure consistency across financial institutions.

What’s most disappointing is the silence from those in power—especially the very government that was elected by a wave of support from the poor and working class. The National People’s Power (NPP) administration, brought into power with the promise of simplifying people’s lives and reducing corruption, now finds itself presiding over a system that is distressing those it vowed to protect.

It is difficult to ignore the irony. While elderly citizens stand in queues for hours to fulfill a bureaucratic obligation , the government should first investigate sums written off by banks as bad debts from large-scale business entities.  These write-offs may well involve political connections  and yet there is little to no probe , let alone accountability. Instead, it is the ordinary, tax-paying citizen who is being hounded.

One must also question the timing of this enforcement. With local government elections just around the corner, the ruling party risks alienating a significant segment of its support base. If the current leadership hopes to secure majorities in the upcoming polls, subjecting the elderly and low-income groups to such treatment is a serious misstep. Bureaucratic rigidity, lack of compassion, and poor planning are not just governance failures—they are electoral liabilities.

The solution lies in a more humane, organized approach. The government should immediately halt the enforcement of penalties until a proper system is in place. Banks must be formally instructed to grant grace periods, and special provisions should be made for the elderly and disabled. Mobile units, community centers, or online registration aids could significantly reduce the burden on physical IRD offices.

In the end, taxation is not just about revenue collection—it is about social justice. And a government that forgets this risks losing both legitimacy and the people’s trust.

*Writer is a former Diplomat, Tourism Official and currently a lecturer, Meditation and Reiki healer