Speaking in Parliament, Opposition MP Ajith P. Perera challenged statements made by President Anura Kumara Dissanayake. The President had previously claimed his administration did not roll out any fresh taxes after taking power in 2024.
According to Perera, the government actually brought in three new taxes and bumped up seven existing ones, placing a heavier burden on citizens.
The Breakdown of New and Increased Taxes
Perera detailed that the fresh levies include a 15% income tax on service export earnings, an 18% VAT on digital services, and a 5% withholding tax on particular professional service payments.
He also pointed out increases in taxes touching interest income, capital gains, financial services, alcohol, tobacco, as well as betting and gaming businesses.
Questions Over Economic Management
Perera questioned how the President could be unaware of these adjustments while serving as the Finance Minister. He argued that the public is hearing misleading statements while still bearing serious financial pressure.
The opposition lawmaker also criticised the administration for failing to fully utilise the revenue it collects.
These claims come right after President Dissanayake maintained that his team had avoided new taxes entirely, had lowered certain duties, and planned more tax reductions in the upcoming Budget. Official records verify several points raised by Perera, including higher withholding tax on interest and new digital VAT.
