Customs Import Duty to be revised to phase out para-tariffs
November 14, 2022 04:07 pm
President Ranil Wickremesinghe says the current rates of Customs Import Duty will be revised to accommodate the proposed phasing out of para-tariffs / levies with effect from January 01, 2023.
Delivering the 2023 Budget in parliament today, he said the Customs Import Duty would be revised from 0%, 10% and 15% to 0%, 15% and 20%, respectively.
Accordingly, CESS levy will be eliminated on a phased basis in three years commencing January 01, 2023, to promote the manufacturing industry, remove the existing barriers to international trade and provide necessary incentives and facilities for local industries and projects including agriculture, President Wickremesinghe says.
He also suggested completely phasing out the Ports and Airports Development Levy in five years.
“Accordingly, I am revising the current rates of Customs Import Duty from 0%, 10% and 15% to 0%, 15% and 20% to accommodate the proposed phasing out of para-tariffs / levies effective from January 01, 2023.”
Relevant work in this connection is being done to introduce a Trade Adjustment Program as well, he added.
However, the proposed tax policy will be implemented in such a way that it does not interfere with CESS levy on agriculture-based value-added industries, President Wickremesinghe pointed out.
