The Chairman of the Committee on Public Finance MP Harsha De Silva has called for a system to be implemented to collect taxes diligently on non-cash benefits from the President to all Ministers, MPs and officials.
The MP said non-cash benefits include vehicles, houses, employees, etc. owned by an individual holding a certain position and the taxes should be carefully looked into, considering all elements.
The MP expressed his views when the Inland Revenue Department was summoned by the Committee on Public Finance to discuss the Road Map for Tax Collection for the year 2023 recently (10).
The Inland Revenue Commissioner General said Rs.860 billion was collected in taxes in 2022 while the tax sum expected in 2023 is Rs.1,667 billion.
He said compared to 2022, an increase of Rs.922 billion is expected in taxes in 2023.
The Commissioner General added the largest tax revenue in 2023 is expected through corporate income taxes.
Revenue officials also indicated that an income of Rs.553 billion is expected through the value-added tax (VAT).
The Committee meanwhile discussed strengthening the tax collection programme and the Department of Inland Revenue provided information on various issued including the delay in court cases related to tax payment defaults.
MP de Silva said the COPF will intervene to review all concerns and provide solutions.
Accordingly, the chairman of the committee informed the Inland Revenue Department to report to the committee in February of the progress on tax collection.
The attention of the committee was also drawn to media reports, that taxes were levied on the pension of disabled war heroes while officials of the IRD denied such claims.
Regulations in Gazette No. 2307/12 under the Import and Export Control Act were also submitted to the committee for approval.
The gazette was published to ease the import restrictions imposed on sports items, railway spare parts, and certain items in the cosmetics industry.
The committee approved the gazette and stressed that it is preferable to allow the import of products required for industries such as tourism and cosmetics under the recommendations of the relevant institutions by charging a higher tax.
