Govt mulls slashing import tax on ‘Beedi’ leaves
October 25, 2023 01:19 pm
The government plans to slash the import tax imposed on ‘Beedi’ leaves, in a bid to recover revenues due to illegal entries of goods.
Finance State Minister Ranjith Siyambalapitiya says 75% of imports of ‘Beedi’ leaves are carried out through informal means due to the high import tax of Rs. 5,000 charged per 1 kilogram.
As such, the import tax on ‘Beedi’ leaves is expected to be dropped to Rs. 250 from Rs. 5,000, and in order to recover the losses incurred from import duty slash, the tax on ‘Beedi’ stick will be raised from Rs. 2.00 to Rs. 3.50, Siyambalapitiya added.
The state minister made these remarks during a meeting held with ‘Beedi’ manufacturers at the Presidential Secretariat.
Siyambalapitiya further mentioned that the government is mulling the registration and regulation of small-scale ‘Beedi’ manufacturers in the country.
He, however, clarified that the government, at no point, endorses ‘Beedi’ as it is yet another cigarette, but only aims to protect the livelihoods of the hundreds of thousands of people who are engaged in this industry and to recover the lost revenues.
