SLCSMI is hopeful of a better future for MSMEs

Monday, 2 December 2019 01:26 - - {{hitsCtrl.values.hits}}

Sri Lanka Chamber of Small and Medium Industries President Rohan De Silva, on behalf of all members of the Chamber, conveyed his heartiest congratulations to President Gotabaya on being elected the seventh Executive President of the Democratic Socialist Republic of Sri Lanka.

In their letter he says, “The massive and unprecedented number of votes and the majority you received at the election clearly indicates that the people of our country have placed their trust and confidence in you to revive the country out of the present situation. We extend our fullest co-operation and support in all your efforts and actions in achieving prosperity, sustenance and peace to the people of our nation.”

De Silva continues, “The election manifesto of President Rajapaksa highlights many of the urgent economic policies and reforms that are much to resucitate the ailing economy and revive the local micro, small and medium industrial sector that is almost on the verge of collapsing.”

The following steps are most welcome by the sector:

A simple VAT of 8%, replacing the current 15% +2% NBT
A five year moratarium on taxes payable by agriculturists and small and medium enterprises
Increase on imports tariff on goods competing with locally produced substitutes
Zero VAT scheme for businesses providing services to tourist hotels if more than 60 % of requirements are purchased locally
A clear and simplified tax system
PAYE tax to be scrapped and personal income to be subject to a minimum of 15 %.

He concluded that the SLCSMI is happy to note that the above proposals have already been approved and implemented by President Rajapaksa at the first Cabinet meeting of the new Government, which will add a filip to the national economy and help in easing the burdens faced by the micro, small and medium industry sector which contributes 70 % of the GDP and its employees who constitute over 40% of the national workforce.