Categories: BusinessHeadlines

LNP – Cut our tax to 6% or drop tariffs to counter US move: Kalugamage

The best and only solution to the new tax rate imposed by the US is to either completely remove the taxes we have placed on them or reduce our tax rate to 6%, said Sarath Kalugamage, Executive Officer of the Ratata Hetak Organisation.

Sharing his personal view, he said that the government should follow Singapore’s example when it comes to tax policies.

He also said that, instead of relying on the usual exports, we should start producing and selling new types of products and services. We also need to find new countries to sell them to.

“There’s an important point we should remember. The biggest market for our goods is in developed countries, especially in Europe. But this is not the case for service exports,” he said.

“As far as I know, the GSP+ tax benefit we received after the tsunami is expected to end either next year or the year after. So, we should start getting ready now to meet the requirements to continue receiving it,” he added.

Tyronne Jayamanne

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