- Tax experts express concerns about the timing of the VAT hike
- They argue that better planning and a gradual roll-out are needed
- Traders may use the VAT increase for profiteering
- There is a risk of major tax evasion
- Non-VAT registered suppliers may be left out
- Experts agree that removing VAT exemptions is necessary, but the timing is wrong
- Rushed implementation of tax policies has had negative outcomes in the past
- Experts emphasize the need for a well-defined policy that doesn’t favor one segment over another
- The government has announced an increase in VAT from 15% to 18% from January 1, 2024.
Source: dailymirror.lk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
