• Slams Govt.’s tax policies and highlights Rs. 1 t in tax and excise revenue in arrears
• Says Govt.’s lack of interest in tax recovery affecting public hardship 
• Raises alarm over exorbitant import profits being made by businessmen amid Govt. inaction 

SJB MP S.M Marikkar

Samagi Jana Balawegaya (SJB) MP S.M Marikkar yesterday slammed the Government for its apparent lack of interest in recovering tax and excise arrears totalling Rs 1 trillion, which could be utilised to alleviate the hardships faced by the general public. During a press conference, the MP criticised the Government for resorting to tax hikes as its sole means of revenue generation. 

“They raised VAT to 18% in January, anticipating a revenue of Rs. 600 billion. However, they have neglected to collect taxes and excise arrears totalling Rs. 1066 billion,” he remarked.

He further suggested that if efforts were made to recover these arrears, VAT could have been reduced to 12%.

The MP maintained that in return prices of essential items such as gas, fuel and food could have been reduced. 

Marikkar also said a Parliamentary Committee had uncovered that businessmen had garnered excessive profits totalling Rs. 800 billion through the importation of essential food items by implementing substantial markups.

 “The Government has not said what it will do about this. It has no interest in tackling issues. Prices could have been lowered if these issues were controlled,” he pointed out. 

 “The Government’s lack of interest in reducing taxes while maintaining stable revenue is enabling errant businessmen to amass undue profits without consequence. Furthermore, approximately 4670 individuals have neglected to pay their taxes, yet the Government shows no initiative in pursuing them for payment. Similarly, there is a disinterest in preventing professionals from leaving the country. This raises questions about whether any politicians or officials are benefiting from these individuals, thus facilitating their evasion of tax obligations,” he noted. 

Traders profiteering, Rs. 188 b in tax arrears