Tax payers pay less here

Shirajiv Sirimane

The local tax payment structure is far less than what corporates pay in many other countries including Australia. Sri Lankan tax payers are looking at avenues to pay less tax and in turn expect the Government to provide modern infrastructure.

Most of the tax payers pay less and expect more and this scenario should be the other way around. However the Sri Lankan tax system is not implemented well.

Sri Lanka is a country which is experiencing terrorism for the past 26 years and it’s surprising to note the high standard of education, health, living and the infrastructure despite the war. These are far better than countries which are not facing a terrorist problem.

Heading CIFL Asset Management and the ASPIC Group, Deepthi Perera who set benchmarks to the Sri Lankan mercantile sector says that successive governments have contributed to build infrastructure against many odds.

He says the world is battling it out against high oil and gas prices, food shortage, terrorism and many other problems and naturally Sri Lanka too is having its share of problems.

“However the country is very resilient and this is something unique to us,” he said.

Perera hailing from Galle had a gifted advantage that his parents were economists and had his entire education in Australia.

Q: What was your first business venture?

After having my education in Australia I went for higher studies to UK. Later I worked in a company for two years gaining experience in UK and later returned to Australia and joined forces with an Australian College to launch Australia’s first traditional trading house.

This was targeting the pensioners’, farmers and providing them with credit and financial management solutions. This was very successful. However the founders wanted to start ventures on their own and then sold the company which we started as debt equity to a US company for US$ 13 million. Later I started ASPIC Corporation with roots in Australia.

Today ASPIC Corporation is a Private Limited Liability Company, which is the most integral part of ASPIC Group of Companies, holding 85% of its US$ 2 million investment in Sri Lanka.

It has invested in diversified business ventures in Sri Lanka such as finance, farming, plantations, real estate development, engineering and construction, mining of minerals, marketing and distribution and tourism and leisure industries.

Headquartered in Victoria and working closely with our affiliates worldwide, ASPIC Group is well positioned to identify financial and strategic partners on a global basis. “We link high-growth firms with global investors and alliance partners. We capture assignments with innovative solutions to maximise returns and have distinctive capabilities to capitalise on opportunities worldwide,” he said.

“We have also acquired and turned around many companies, which include Lumbini Aquarium, which is today Sri Lanka’s number one ornamental fish exporter.

Central Investments, which has a deposit base of Rs. 35 million and Rs. 17 million capital, is today a company boasting Rs. 1.2 billion in deposits and Rs. 200 million capital. I must also mention that we have a very strong culture and strongly believe in auspious times and religion. Due to this, I can say that ASPIC staff is the most disciplined workforce in the entire mercantile sector.

Q: What should be Sri Lanka’s core business?

Sri Lanka is a small country. If we concentrate only on agriculture the maximum we can achieve is self-sufficiency and a few exports. Most of the other traditional sectors too are the same. Since India is an industrial giant it is not suitable to concentrate only on Industries.

I think Sri Lanka’s way forward is to have a financial hub similar to Dubai and Singapore. Sri Lankan stock market is doing well and this is a plus point for the country.

The entertainment offered to foreigners too is encouraging. However the Government must reduce red tape and have permanent policies like in India to woo investors.

Q: You have set benchmarks in the local mercantile sector. What are they?

I have built Sri Lanka’s first low cost housing scheme in Homagama and the first phase of 79 houses have already been completed. We have also introduced a special bus service only for the housing scheme residents.

For the first time, we would be introducing a housing concept where customers could visit our showroom, select a house from our brochures, pay the money, take keys and occupy the house immediately. We have built several houses in many places in Colombo for this project.

We are also building Sri Lanka’s first Marina in the Bolgoda Lake to attract both local and foreigners. In addition the company will introduce several micro financial projects, which would be firsts for Sri Lanka.

We have also tied up with an American firm to export fluid tea which could be diluted with either hot or cold water.

Q: How do you see the Sri Lankan ethnic conflict?

I do not see it as an ethnic conflict it’s a terrorist problem. I know Sinhala and Tamil people were living in perfect harmony for centuries. Now I see it is that this should be stopped. However I don’t justify taking another persons life to stop the conflict. No one has the authority to kill another person.

Q: Can you recall an unforgettable experience you faced overseas?

Well I love adventure sports and when I was doing a bungee jump in New Zealand there was a miscalculation and I met with an accident, which put me in hospital for over six months.

Q: What is the best country you like?

I like Thailand for its culture (Not Bangkok but the outskirts) and because my wife is from that country.