The Ceylon Chamber Commerce has told the government that getting higher tax revenues will be a bigger challenge than controlling expenditure. The Ceylon Chamber Commerce has told the government that getting higher tax revenues will be a bigger challenge than controlling expenditure. Chamber Chairman Deva Rodrigo said the success of the first UPFA budget depends on meeting the Fiscal and growth targets.
The chamber is however, opposed to a majority of the amendments made to corporate taxation and plans to strongly recommend a return to the status quo.
“Controlling the expenditure is well within the control of the government. But revenue is not necessarily in the hands of the government. So the challenge of this budget is to achieve the revenue targets. If that is done the government would meet most of its promises,” says Rodrigo.
The Chamber also says the government needs to keep a close eye on the Balance of Payment (BoP) situation.
BoP account is running a US$ 250 million deficit a reversal form the US$ 500 million surplus recorded last year.
“With imports at 20 percent and exports at 8 percent, it is a very big challenge