August 29, Colombo (LNW): Sri Lanka’s Government and the International Monetary Fund (IMF) have reached a preliminary agreement to revise the current pay-as-you-earn (PAYE) tax, according to President Ranil Wickremesinghe.
Addressing a presidential election rally in Eheliyagoda, the President revealed that both parties have submitted proposals and are in the process of finalising the details.
President Wickremesinghe acknowledged the widespread concern over the PAYE tax, describing it as a significant issue that requires urgent attention.
He explained that the government and the IMF have recognised the need for amendments to the tax structure, with discussions currently underway to finalise the specifics.
“We have presented our proposal, and the IMF has tabled theirs. Once we reach a consensus, the exact figures will be announced,” he stated.
The ongoing negotiations are part of broader efforts to align Sri Lanka’s tax policies with international standards while addressing domestic concerns.
The proposed changes are expected to provide relief to taxpayers while ensuring the country’s economic stability.
The revision of the PAYE tax comes as the government seeks to balance fiscal responsibility with the need to support citizens during challenging economic times.
The President’s announcement reflects a commitment to transparency and collaboration in the decision-making process, with the final outcome expected to be communicated soon.
