The Cabinet of Ministers has granted approval to gazette and present the Special Goods and Services Tax Bill and the Value Added Tax (Amendment) Bill in Parliament.
The Budget 2021 and 2022 proposed to replace the taxes and levies imposed under various statutory laws with a single tax to be managed online to increase the efficiency of tax collection on liquor, cigarettes, telecommunications, betting and gaming and vehicles.
The Budget 2022 also proposed to increase the Value Added Tax on financial services and to exempt medical equipment, devices and chemicals donated to government hospitals from the VAT.
Accordingly, the Attorney General’s clearance has been received for the Special Goods and Services Tax Bill and the Value Added Tax (Amendment) Bill prepared by the legal draftsman.
The Cabinet of Ministers during yesterday’s meeting has approved the proposal presented by the Minister of Finance to gazette the bills and to submit for parliamentary approval.