President Anura Kumara Dissanayake has announced that the government plans to reduce certain taxes further in the upcoming Budget while ensuring that state revenue targets are not affected.
Speaking about the country’s economic performance, the President said the government had achieved its revenue targets without introducing any new taxes since taking office.
“We have not imposed any new taxes since coming to power. In fact, we have significantly reduced some existing taxes. We will reduce certain taxes further in the upcoming Budget,” the President said.
He stressed that the proposed reductions would be implemented without jeopardising the government’s revenue targets.
The President said previous governments had repeatedly failed to meet their projected revenue targets, often collecting only around 90 percent of the expected amount.
However, he said the current administration had exceeded its revenue expectations, while maintaining a primary budget surplus that would help reduce the country’s debt burden over time.
He also acknowledged that rising inflation had placed additional pressure on households, particularly through higher prices for goods and services.
The President attributed much of the inflationary pressure to the ongoing conflict in the Middle East and disruptions to international supply routes. (Newswire)