Thursday, 28 November 2019 06:02

New government makes drastic tax revisions

Prime Minister and Finance Minister Mahinda Rajapka has taken the first major step towards fulfilling the pledges given to the people via the election manifesto of President Gotabaya Rajapaksa by revising key taxation system.

The Cabinet of ministers has given its approval to remove the Nation Building Tax (NBT), Pay As You Earn (PAYE) Tax and Withholding Tax on interests, the Co-Cabinet Spokesperson Minister Bandula Gunawardana said today.
He announced these new changes in current taxation system during the first media briefing on approvals given to Finance Ministers proposals by the new government’s Cabinet of Ministers. The Cabinet has further decided to reduce the telecommunications levy to 25%.
These decisions were taken during the first Cabinet meeting of newly formed government held at the Presidential Secretariat.
Meanwhile, the Cabinet of Ministers decided to reduce the Value Added Tax (VAT) from 15% to 8%.


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