President Ranil Wickremesinghe has hinted at surprises in the 2024 budget, which could include a proposal to tax primary bond dealers.
Speaking in Parliament yesterday (Sep 06), the President said primary bondholders will be taxed as per next year’s budget.
He made the remark in response to concerns raised on the government’s move to charge a 30 per cent tax if Employees’ Provident Fund (EPF) holders do not opt to participate in the debt optimization process.
Responding to Opposition Leader MP Sajith Premadasa, the President pointed out that the proposal to charge a 30 per cent tax from the EPF was initially proposed by the Sri Lanka Podujana Peramuna (SLPP).
“This proposal was originally made even before I was appointed Prime Minister,” President Wickremesinghe said.
Commenting on domestic debt optimization, the President said the Supreme Court had clearly stated that there is no issue with the Inland Revenue Amendment Bill.
The President made the remark in response to Opposition MP Dr. Harsha de Silva’s request for a debate on the Inland Revenue Amendment Bill which consists the provisions for charging a 30 per cent tax from the EPF.
Reading the Supreme Court determination on debt optimization, the President said, “The Supreme Court states there is no issue with the Inland Revenue Amendment Bill. The Supreme Court has clearly shown that the banks cannot participate in the domestic debt optimization process given their position. The banks cannot participate in the debt optimization process given the thin line of capital they hold. Petitioners who filed legal action against the Bill have also failed to provide evidence to prove their point.” (NewsWire)