No 5% Tax On Salaries Over LKR 100,000
Posted 15,September

By Chaveendra Dunuwille

In Local News

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A proposal by Trade Minister Bandula Gunawardana drew heavy criticism from civil societies and social media. His proposal called for the implementation of a new 5% tax on individuals who earn more than LKR 100,000 monthly. 

The tax proposal titled ‘Community Preservation and Contribution Fund’ was proposed by the Minister for the benefit of education and health services which have been greatly affected by the ongoing pandemic. 

In a post-cabinet meeting press briefing, the Co-Cabinet Spokesperson and Minister of Mass Media Dullas Alahaperuma reassured the reporters present that the government has no intention of implementing such a tax. The trade minister’s ‘personal opinion’ does not reflect the view of the cabinet. 

The proposal drew criticism from all over due to the government charging only 1% under the new tax amnesty. Many felt that this tax was robbing them of the salary they had rightfully earned.