The Government is striving to achieve a significant milestone in its fiscal strategy, aiming to register eight million citizens with Taxpayer Identification Numbers (TINs) by the end of this month, according to State Minister of Finance Ranjith Siyambalapitiya.
As of now, approximately 2.3 million individuals have obtained their TINs, with a substantial increase expected in the coming weeks.
Speaking to The Sunday Morning on the ongoing registration process and the Government’s broader tax initiatives, State Minister Siyambalapitiya said: “We have allowed individuals to use their NICs and other identification methods to register for TINs,” he explained.
He emphasised that no legal action would be taken against those who were yet to register.
Despite the ambitious target, the State Minister acknowledged that the Government currently lacked precise data on the number of citizens who were paying the correct amount of tax.
He reassured, however, that individuals whose income fell below the exemption threshold would not be unduly burdened by tax payment demands.
“Those whose monthly income does not exceed Rs. 100,000 are exempt from paying tax,” Siyambalapitiya stated.
He urged such individuals to inform the nearest regional office of the Inland Revenue Department (IRD) to avoid any confusion or unnecessary reminders.
“If we inquire about people’s income situation and ask them to pay their taxes, they can send in a letter or email proving their income to be under Rs. 100,000,” he added.
To date, around 2.3 million TIN numbers have been issued, with a total of around 1.3 million registrations occurring in June alone. The Government’s target is to boost this figure to 7.3 million by the end of July.
As explained by the Minister, the drive to expand TIN registration is part of a broader effort to enhance the country’s revenue collection mechanisms.
The IRD has also intensified its scrutiny of parliamentarians, amidst suspicions of potential tax fraud. This action aligns with Sri Lanka’s newly enacted Anti-Corruption Law, which mandates the declaration of assets by MPs.
The Government has also raised tax rates and taken steps to widen the tax network, contributing to a 6% surplus in tax revenue for the first quarter ending 31 March this year.
The combined efforts of the Customs Department, Excise Department, and Inland Revenue Department are expected to drive the Government towards its revenue collection target of Rs. 4,106 billion for the year.