• Chief of Prez Staff Sagala Ratnayake promises TU leaders

In the backdrop of trade union leaders (TU) requesting the Government to reconsider the current percentage of taxation on earnings, the Government has promised to review the matter and make necessary amendments in the near future.

The President's Chief of Staff Sagala Ratnayake said that the International Monetary Fund (IMF) representatives have acknowledged the effectiveness of President and Minister of Finance, Economic Stabilisation and National Policies Ranil Wickremesinghe's efforts to revive the country's weakened economy, and added that the IMF is expected to respond positively regarding the release of the IMF’s first instalment.  

Ratnayake expressed these views during a discussion held with representatives of trade unions recently at the Presidential Secretariat. During the meeting, the measures to be taken by the unions to protest – today (8) and tomorrow (9) – against the tax levied on earnings and demanding its withdrawal were also discussed. 

Ratnayake appealed to the union leaders to take into consideration the current economic situation of the country and requested their assistance in ensuring that essential services and other critical services are not disrupted. Furthermore, Ratnayake reassured the union leaders that the Government recognises the challenges that professionals are facing due to the tax imposition and promised that the Government will review the matter and make necessary amendments in the near future. He also urged the union leaders to refrain from participating in any activities that could destabilise the country, warning that any such actions would have serious consequences for the economy of the country.

The union leaders highlighted that the high percentage of tax levied on their monthly income has made it difficult for them to manage their daily expenses and meet their bank loan instalments. They also pointed out that the recent hike in electricity tariffs has only made the situation worse. As a result, the union leaders requested the Government to reconsider the current percentage of taxation on earnings. Also, the union leaders pointed out that the Government could earn a large amount of tax revenue if a programme was put in place to seek out the individuals who are evading taxes and to capture them in the Government's tax net.