Finance Bill seeking to raise Rs. 140 bn annually endorsed

Speaker Mahinda Yapa Abeywardena has endorsed the Social Security Contribution Levy Bill that would help the cash-strapped government to collect as much as Rs 140 bn a year.

SpeakerAbeywardena certified the contentious Social Security Contribution Levy Bill on Tuesday (20).

This Bill was passed by a majority vote in Parliament, on 08th September. A staggering 123 lawmakers skipped the vote, though the Opposition vowed to oppose the Bill. Ninety one MPs voted for the Bill whereas 10 voted against.

According to the Parliament, the Social Security Contribution Levy has been introduced as a measure to raise government revenue and rebuild the economy, which was hit by the Covid-19 pandemic. “This tax is imposed at the rate of 2.5 percent on the importers, manufacturers, service providers and wholesalers and retailers with an annual turnover of more than 120 million. The expected revenue from this tax per year is Rs. 140 billion. Thus, this Bill will come into force as the Social Security Contribution Levy Act No. 25 of 2022,” the Parliament stated (SF)