Objections to be filed on tax concessions for beer company

The Court of Appeal yesterday granted time till 27 January to the Respondents to file Objection in respect of the Writ Petition challenging the impugned decision granting or/and approving waiver and/or exemption and/or concession of customs import duty and/or any other fiscal levy.

The Bench comprised Justices Vijith K. Malalgoda (President/CA) and S. Thurairajah.

Buddhist Monks Ven. Agulugalle Sri Jinananda Thero, Ven. Rathgama Sumangala Thero, Ven. Biyagama Suseela Thero, Ven. Udagomadiya Sumana Thero, Ven. T.Mahanama Thero and Galgagodadeniya Rathnawansha Thero filed the petition.

They cited Finance Minister Ravi Karunanayake, Director General of Customs Dr. Nivelle Gunewardena, Treasury Secretary Dr. R.H.S. Samaratunge, Treasury Deputy Secretaries, Commissioner General of Excise, National Authority on Tobacco and Alcohol, Lion Brewery (Ceylon) PLC and others as Respondents.

Sanjeeva Jayawardane PC appeared for the Petitioners. K. Kanag Iswaran PC appeared for Lions Brewery.

Petitioners state that are challenging the purported order/orders issued by the Finance Minister to grant a customs import duty exemption/waiver/concessions to beer, which is an alcoholic, noxious, inebriating substance.

The petitioners sought a writ order restraining the Finance Minister and other respondents from granting a full or part exemption or concession of customs import duty in respect of any alcoholic products imported by a beer brewery company.

The petitioners stated that according to the calculation, the Government would lose Rs. 371 per litre of beer of less than 5% alcohol and Rs. 254 per litre of more than 5% alcohol imported by Lion Brewery (Ceylon) PLC.

“If Lion imports around five million litres of beer per month for four months, the potential revenue loss for the Government would be Rs. 6 billion,” the petitioners said.