Down To Cents

The US$ 50,000 grant, extended through the Asian Development Bank (ADB), will finance a study to set up an autonomous authority to streamline revenue collection and tax administration.rn

rnInefficiencies in revenue collection, as well as widespread tax evasion are an established fact, with state revenues on the decline in the past few years.rn

rnThe national debt and the country
quote s Rs. 8.5 bn budget deficit have also contributed to crowding out growth and investment.rn

rnThis has adversely affected government efforts to reduce poverty and fund priority investments. rn

rnldblquote Revenue mobilisation has fallen far below the potential collection levels for the country
quote s present stage of development, reflecting both inadequacies in the tax structure and deficiencies in tax administration
dblquote , ADB representative in Sri Lanka, John Cooney says. rn

rnThe authority will devise and implement a system to streamline tax administration, enhance tax compliance, and ensure a sustained increa