Parliament passed the new Inland Revenue Bill yesterday in Parliament. Minister of Finance and Mass Media Mangala Samaraweera, moving the Inland Revenue Bill second reading motion in Parliament, stated that the Government will reduce the gap between direct tax and indirect tax by 2020, enabling the nation to move forward.
The third reading division received 90 votes in favour and 25 against. The second reading of the new Inland Revenue Bill division received 100 votes in favour and 41 against. Report states that People with a monthly salary of Rs. 100,000 will be exempted of tax. Monthly interest income of senior citizens up to Rs. 125,000 will be exempted of tax. SMEs and identified sectors will get a tax reduction from 28% to 14%. PAYE tax will be enforced at end October, new act enforced from 1 April 2018. Tax exemptions offered for investments made in Northern Province. President’s salary to be taxed.