Default of Rs.6Bn taxes by liquor manufacturing companies challenged in Court

26 January 2024 09:02 pm Views - {{hitsCtrl.values.hits}} 14 Bookmark

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Colombo, Jan. 26 (Daily Mirror)- Seventeen social activists have filed a Fundamental Rights petition in the Supreme Court seeking an order directing the authorities to forthwith take steps to recover all arrears of tax due from all the liquor manufacturing companies.

The Petitioners stated that by June 15, 2023, the amount of back taxes payable by the liquor manufacturing companies had increased to Rs.6,221 million.

Seventeen social activists including Sanjaya Mahawaththa filed this petition naming Commissioner General of the Excise Department, State Minister of Finance, Auditor General, W. M. Mendis & Co. Limited, Wayamba Distilleries (Pvt) Ltd, Globe Blenders and Bottlers Lanka (Pvt) Ltd, McCallum Brewing Co (Pvt) Ltd, Kalutara Co-op Distilleries Society Ltd, Finland Distilleries Corporation (Pvt) Ltd, Synergy Distilleries (Pvt) Ltd, Randenigala Distilleries Lanka (Pvt) Ltd, Hingurana Distilleries (Pvt) Ltd, Royal Ceylon Distilleries (Pvt) Ltd and several others as respondents. This petition had been filed through Attorney-at-Law Manjula Balasooriya.

The petitioners are further seeking an order directing the authorities to suspend and refrain from renewing the relevant liquor manufacturing licenses issued to the liquor manufacturing companies until the arrears of taxes due are paid in full.

The Petitioners stated that the Sri Lankan government missed its tax revenue target in 2022, falling short by 101 billion Rupees. Among those 101 billion rupees, 26 billion rupees in tax revenue was from Excise revenue.

The Petitioners stated that the failures in the collection of taxes by authorities, were among the reasons for the economic downfall of the country.

The Petitioners stated that even after the bankruptcy of the country, the authorities have failed to carry out the proper revenue collection process. Due to this, the government of Sri Lanka has been unable to reach the expected tax revenue targets. The Petitioners further stated that such failures contradict the agreement reached between the Government of Sri Lanka and the International Monetary Fund in 2022.

The Petitioners state that the loss to the government due to the failure of the Respondents to collect taxes and revenues as scheduled has already resulted in the citizens of Sri Lanka, including the Petitioners being burdened.

Comments - 14

johan Friday, 26 January 2024 09:40 PM

Social and Civil activists should take the responsibility in running this corrupt government

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Corrupt official discourage honest workers! Saturday, 27 January 2024 08:28 AM

No. They too will become corrupt overnight and become the Janata Committee of NM Perera era. Now, what about officials of the department for negligence of their duties. Should they not be punished? Whether they admit or not they are part of the problem.

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Don Friday, 26 January 2024 11:40 PM

What a country!!! Government’s revenue department is sleeping. Activists have to go to court to ask private companies to pay taxes. Why the heck we have a government? We only need a commission of 20 ethical professionals to run this country. We don’t need 225 idiots. That commission must be legally empowered to direct Attorney General and Auditor general to take legal action to take action against anyone who aren’t doing their job.

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Ram Saturday, 27 January 2024 02:57 AM

I hope our SC will deal with those responsible for tax collection for dereliction of duty

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DOT Saturday, 27 January 2024 03:55 AM

They know how to buy their rights !

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VJ Saturday, 27 January 2024 06:22 AM

Why would it require a push from social activists and the courts for an official to perform his duties for which he is paid by the people? This person should be fired for his/her incompetence.

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Neel jayanatha Saturday, 27 January 2024 12:38 PM

I do completely agree with you, the state office who have assigned for the such activities they all are sleeping and government asking pay more tax from general public. Moreover Prisdentcall all political parties regarding alternative steps other than IMF. Rules of the this country no need to blame to their family fringe and relative who run the Business without paying taxes. THiS Is Srilanka ' one of most corrupted country of the south east Asia.

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Abd Saturday, 27 January 2024 06:25 AM

We,public inviting more social activists to come forward and take action against current state bank authorities , who are not taking action to recover bad debts of politicians and their relatives

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bande Saturday, 27 January 2024 06:27 AM

Excise Commisioner was transferred suddenly . Any links to his effot to collect the arrears from defaultors?????

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Jude Saturday, 27 January 2024 07:15 AM

THOSE liquor manufacturers are friends of all politicians. They Bankrolling most politicians!! Hello, politicians don't bring money from home to run for political office, it's these guys funding their political campaigns. Remember, One hand moisturizing the other hand!!

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Amaran Saturday, 27 January 2024 07:17 AM

The level of corruption led my corrupted and thuggery government had come to stage where people are taking steps to recover TAX on behalf of government.

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Sambo Saturday, 27 January 2024 08:07 AM

If the government cannot recover these taxes from these fraudsters then why should the public pay tax. Through away all those tins.

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Sokrates Saturday, 27 January 2024 09:00 AM

This is because behind every drop of alcohol, whether legal or illegal, produced and sold in Sri Lanka is a corrupt politician.

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T Sal Saturday, 27 January 2024 07:12 PM

An incentive base collection procedure would motivate collection -

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