Mangala seeks JO support for new Inland Revenue Bill

by Shamindra Ferdinando-September 5, 2017, 10:46 pm 

The government held talks with the Joint Opposition (JO) on Monday (Sept.4) to reach an agreement on the new Inland Revenue Bill ahead of its presentation in parliament tomorrow (Sept.7).

Political sources told The Island that the discussion focused on 31 amendments proposed by the JO in the wake of the Supreme Court recommending several crucial amendments, which have to be incorporated into the Bill if the need for a referendum is to be obviated. Sources said the government delegation had assured the JO that its position in respect of proposed amendments would be made known to the group on Wednesday (Sept.6).

The JO comprises 52 MPs elected on the UPFA ticket at the last parliamentary polls in Aug. 2015. Former President and Kurunegala District MP Mahinda Rajapaksa heads the JO. Of the remaining 43, except MP Priyankara Jayaratne, the rest backs President Maithripala Sirisena.

Finance and Media Minister Mangala Samaraweera, State Finance Minister Eran Wickremaratne and senior Finance and Inland Revenue Department represented the government whereas JO parliamentary group leader Bandula Gunawardena led Opposition MPs. Gunawardena's delegation included Bandula Gunawardena, Gamini Lokuge, Sisira Jayakody and Indika Anuruddha.

Sources said that a vote on the new Bill was earlier to take place today (Sept.6) though party leaders subsequently decided to take it on Thursday.

Confirming Monday's talks, MP Gunawardena told The Island that they had moved Supreme Court against the new Inland Revenue Bill as it surely undermined interests of the vast majority of people. "We believe the government delegation responded favorably to our amendments and agreement can be reached on new Inland Revenue Bill. However, we'll know the outcome on Wednesday," MP Gunawardena said.

Some sources speculated that the clauses which required two-thirds approval were expected to be omitted from the new Inland Revenue Bill.

MP Bandula Gunawardena yesterday told The Island that the JO really appreciated the opportunity to submit amendments to the proposed bill prepared at the behest of the International Monetary Fund (IMF).

On behalf of the JO, MPs Gunawardena and Sisira Jayakody moved Supreme Court against the new Inland Revenue Bill whereas eight other petitions were also filed.

MP Gunawardena said that they had received assurance some of their amendments would be accepted. The former Education Minister said that he explained as claimed by the government direct taxes couldn't be substantially increased without the required tax base. He emphasized the responsibility on the part of the government to adopt a sensible approach.

Responding to a query, MP Gunawardena said that the new Inland Revenue Bill required to be passed by a simple majority.

Coalition partners, the UNP and the SLFP have the required strength in parliament to pass the new Bill.

MP Gunawardena alleged that the original bill was meant to provide relief to foreigners at the expense of Sri Lankans. The MP said that the government could have secured a bill severely inimical to the country if it wasn't challenged in Supreme Court.