Govt. kicks off National Tax Week with noble call

• Initiative themed “Your Tax – Your Future,” aims to strengthen tax compliance and broaden base
• Only 43% of registered companies have submitted tax returns; compliance rate among partnerships at 46%
• Only 23% of individuals liable for income tax have filed returns 
• Just 18% of those liable for PAYE tax have submitted their returns
• Blames root cause of lack of compliance is public and taxpayer criticism of how past political administrations have misused tax revenue
• President assures new Govt. has created political culture that does not waste or misuse taxpayers’ money
• Leading by example, AKD becomes first to submit personal income tax return via new online portal launched by Inland Revenue Department

President Anura Kumara Disanayake

The Government yesterday kicked off the ‘National Tax Week,’ aimed at strengthening compliance and broadening the base, with President Anura Kumara Disanayake assuring that a new political culture has been created to ensure taxpayers’ money is not wasted or misused.

The launch of ‘Badu Shakthi – National Tax Week’ is under the theme ‘Your Tax – Your Future.’ 

In his address at the launch, President Disanayake assured that not a single rupee of the tax money paid by the people will be misused or lost to corruption.

He further stated that if any politician or public official is found engaging in such misconduct, strict action will be taken regardless of their position and the maximum possible punishment will be enforced. The President affirmed his commitment to ensuring justice for taxpayers by dismantling the corrupt mechanisms that have long operated against the public interest.

He further noted that Sri Lanka is currently under economic probation and invited all citizens to join hands in building a self-sufficient national economy. He underscored that the Extended Fund Facility agreement with the International Monetary Fund (IMF) should be the last such program for the 

country.



Disanayake revealed that only 43% of those registered as companies have submitted their tax returns. For the 2023-2024 period, only 23% of individuals liable for income tax have filed returns. Among partnerships, the compliance rate is 46%. Meanwhile, just 18% of those liable for PAYE tax have submitted their returns. None of these figures exceed 50%, clearly indicating widespread tax non-compliance and deliberate efforts to evade taxes.

“The root cause of this situation lies in the public’s criticism, particularly from taxpayers, of how past political administrations have misused tax revenues. Therefore, our first responsibility is to assure the people that their tax money will be used appropriately and exclusively for essential needs. That assurance is now entrusted to me and to the current political leadership. As President, I give you my personal guarantee that not a single rupee of your tax money will be wasted or misappropriated by the political authority,” President Disanayake emphasised. 

He also acknowledged that entrepreneurs are conducting their businesses lawfully and paying fair taxes to the Government. 

“It is the responsibility of the State to protect that system. Likewise, those who work hard to earn an honest living and pay a portion of it to the Government in taxes deserve the assurance that their contributions are safeguarded. That is our responsibility. Therefore, I invite every taxpayer to continue fulfilling your duty. I give you my assurance that every rupee you pay will be protected. And if even a single rupee is misappropriated, I will ensure the full force of the law is brought to bear against it.”

“In this process, neither power nor social background will be taken into account. Only by cleansing this entire shadow system can we realistically achieve our tax revenue targets. Therefore, our key objective during ‘Tax Week’ is to send this message to society. To that end, a broad and inclusive social dialogue must be initiated,” the President pointed out.

The ‘Tax Shakthi’ National Tax Week commenced with the objective of transforming negative public perceptions surrounding tax compliance into a more constructive outlook, while fostering a new tax culture grounded in transparency, accountability, and civic responsibility. From 2 to 7 June, a series of awareness programs will be carried out to educate the public on the importance of tax contributions, how tax revenue supports national development, and the tangible benefits delivered to citizens through effective public financing.

As part of the initiative, the Inland Revenue Department (IRD) officially launched its online platform for the submission of individual income tax returns for the 2024 assessment year. Marking a significant gesture of leadership and commitment to fiscal responsibility, President Disanayake submitted his personal income tax return via the online portal, becoming the first to do so for the 2024/25 assessment year.

Additionally, the implementation of the ASYHUB system at the Sri Lanka Customs Department was carried out as part of this initiative. Developed with the support of the German Government and the United Nations Conference on Trade and Development (UNCTAD), this modernised system enables importers to complete their Customs procedures before the goods arrive in the country. Through this system and the integrated risk management software used by Customs, risk-free shipments are directly cleared at the port and conveniently transported to the respective importers’ warehouses.

Excise Department officers were introduced to a new mobile application designed to identify legally manufactured alcoholic beverages through a secure labelling system. Secretary to the President Dr. Nandika Sanath Kumanayake also addressed the event, stating that the primary aim of ‘Tax Week’ is to enhance tax compliance among the business community and the general public, thereby strengthening the national tax base.

Finance Ministry Secretary Mahinda Siriwardana noted that paying taxes is a goodwill investment made by citizens for the betterment of the country.

Convenor of the ‘Clean Sri Lanka’ initiative, Senior Additional Secretary to the President Russell Aponsu, emphasised that tax compliance plays a crucial role in building a well-disciplined nation guided by ethical and sustainable development principles.