Wednesday, 14 July 2004  
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Tax revenue dropped from 19 per cent to 14 per cent of GDP

The Inland Revenue Service Union in a press release last Sunday explained the main causes for the inefficiency that prevailed in the Inland Revenue Department and pointed out that the tax revenue which was 19 percent of the GDP in 1980 dropped to 14 percent by 2003.

The Inland Revenue Department which earns 55 percent of the state revenue, functions as a closed service since 1974. In relation to economic expansion and development, the tax revenue has gradually declined. Weak tax management,utilization of weak resources and the outdated institutional structure are the main causes of inefficiency in the Inland Revenue Department, it stated.

The Inland Revenue Service Union representing nearly 60 percent of the revenue service workforce, pointed out these causes and agitated for a reformation in keeping with and present day tax management, economic, social and technological development.

By now the present Government is going ahead with reformative measures conducive to the taxpayer as well as the department, while ensuring solutions for institutional weaknesses and employees' problems. The IRSU as the strongest trade union in the Department welcomes this process and pledges the Union's strength and courage towards this trend, the press release stated.

It called upon the public to make representations to the Union's special unit in case of irregularities, influences, injustice, threat or inconvenience, as the union is ever ready to intervene under such circumstances.

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