Vote on Account presented to Parliament

Oct 23, 2019 (LBO) – Sri Lanka's Finance Minister Mangala Samaraweera today presented the Vote of Account for the first four months of 2020 in the Parliament.

Accordingly, over 1,470 billion rupees will be allocated for the capital and recurrent expenditure headings while 5 billion rupees will be allocated for the advance accounts.

For the first four months, 745 billion rupees will be expecting as the government revenue and 721 billion rupees will be raised as loans.

Presenting the Vote on Account in the Parliament, the Finance Minister said that they are in the process of simplifying the existing tax system and rationalizing para tariffs.

The cabinet of ministers this week approved a proposal to implement a five-year strategic plan (2020‑2024), in phases, to rationalize para-tariffs.

Such taxes are considered a disadvantage to international trade and a drawback to divert towards the sectors which have better economic viability.

Protective measures such as anti‑dumping and countervailing duties imposed in order to prevent the inflow of goods at prices less than their costs of production will safeguard the domestic industries.

The imposition of taxes inclusive of the Special Commodity Levy (SCL), the Ports and Airports Development Levy (PAL) and the Commodity Exports Support Scheme Levy (CESS Levy) comes under para‑tariffs.

They are imposed in order to increase the Government annual revenue, to protect the local products from the competitiveness of importation, results in the increase in the cost of living and reduce economic competitiveness causing a reduction in their productivity and efficiency.

Minister Mangala Samaraweera also explained how the salary structure of the public servants have been increased when compared to 2006.

Salary Structure for Public Servants – 2006 (According to circular 06/2006)