Government spends Rs. 10 billion
**Special consumer relief
**Many taxes removed from 12 items
Irangika RANGE
|
Revenue Loss
under Special
Commodity Levy - 2008 |
Month Loss (Rs. Mn.)
January 833
February 839
March 1611
April 852
May 830
June 690
July 784
August 675
September 664
October 726
November 675
December 812
Total 9991 |
|
Data Source -
SLC (ADP Unit)
R/A(W) TTIPD - 28.01.2009 |
The Government has incurred a loss of Rs. 9,991 million of State
revenue last year due to the removal of taxes imposed on the import of
12 essential consumer items as a relief measure to the public.
Trade Marketing Development, Co-operatives and Consumer Affairs
Minister Bandula Gunawardana told the Daily News that the Government had
granted a huge tax relief sacrificing a vast amount of government
revenue on the import of essential items.
”Parliament approved the Special Commodity Levy Act in 2007 for the
first time in the history of Sri Lanka,” the Minister said.
Under this, a number of taxes including the Ports and Aviation Levy
(PAL), VAT, Cess Levy, Surcharges, Social Responsibility Levy (SRL) and
Customs Duty were removed on 12 essential items and brought them under
one small unit tax.
A gazette notification has been issued by introducing a Special
Commodity Levy and according to the gazette notification, importers of
essential items have to pay a single tax,” he explained.
“They import 12 essential items such as gram, rice, sugar, potatoes,
dhal, red onion, B onion, green gram, sprats, dried chillies, canned
fish and milk powder on this tax relief in order to provide reliefs to
consumers.
”Though this Act was brought to Parliament with the intention of
providing relief to consumers, the Opposition voted against this for the
first time in history,” he said. This attempt of the opposition parties
had shown their dislike on reducing the burdens placed on the people.
“But as a responsible Government, we are committed in relieving the
burdens of the people and took measures to pass the Act overlooking
protests of the Opposition,” the Minister explained.
Sathosa outlets and co-operatives islandwide are engaged in selling
these 12 essential items.
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