Lankapage Logo CP 18 YEARS
Go Home Home Serving the Sri Lankan community globally since 2000
go to LankaPage.com

Leading News from Sri Lanka::

* Sri Lanka's New Inland Revenue Act will augment government revenue - Moody's
Tue, Sep 12, 2017, 07:46 am SL Time, ColomboPage News Desk, Sri Lanka.

Sept 12, Colombo: Sri Lanka's newly revised Inland Revenue Act will augment the country's very low level of government revenues, Moody's said.

"Sri Lanka's newly revised Inland Revenue Act will augment the country's extremely low level of government revenue by replacing the existing law with a more efficient, modern and broad-based tax framework." said Vice President, Sovereign Risk Group of Moody's Investors Service, William Foster.

Foster noted that compared to other sovereign nations, Sri Lanka's income tax efficiency and tax collection were weak.

"Through past additions of multiple tax exemptions, Sri Lanka's income tax efficiency and tax collection are weak relative to other sovereigns," Foster said.

"The general government revenue-to-GDP ratio was only 14.3% in 2016, one of the lowest among B-rated sovereigns."

The reforms of the Inland Revenue Act offer prospects of higher revenues.

The implementation of revenue reforms that foster long-term fiscal consolidation will be critical to shoring up Sri Lanka's credit profile, which is weighed down by the country's large debt burden and relatively weak debt affordability.

The new Inland Revenue Act will reduce the indirect taxes levied from the people from 80% to 60% and increase the direct taxes from 20% to 40% within three years.

 

ColomboPage - Recent 10 Stories ::
Sri Lanka PM encourages entrepreneurs in North with tax concessions to uplift local economy
-- [21 minutes ago]
Sri Lanka confirms appointment of former Secretary to the President Austin Fernando as envoy to India
-- [1 hour and 25 minutes ago]
Sri Lanka plans to settle Iran oil dues with tea - report
-- [2 hours ago]
Deputy Minister takes wasting fruits and vegetables to elephants at detention center
-- [9 hours ago]
Two school girls drown in sea in Kalutara
Sri Lanka Railways workers to strike from midnight Sunday
Sri Lankan government confirms two new diplomatic posts
Sri Lanka takes steps to develop adventure tourism
CMC, tri forces launch special project to clean the Beira Lake in Sri Lankan capital
Sri Lanka's first solar panel manufacturing plant with Japanese investment opens in Katunayake

Copyright © 2000, 2016 by LankaPage.com (LLC) :
The news and other contents on ColomboPage are copyrighted property of LankaPage.com, LLC. Any unauthorized use of any information on ColomboPage may constitute a violation of copyright laws. You need written permission to reproduce, republish, post, transmit, broadcast or distribute, material from this site from LankaPage.com, LLC. However, news organizations or broadcasters in Sri Lanka may republish the news items in ColomboPage with proper acknowledgment to ColomboPage.