The Finance Ministry says that all taxes on the import of rice have been abolished from midnight today while a special commodity levy of Rs 15 per kilogram will be imposed on rice imports instead.
The government decided to reduce tax on imported rice with effect from midnight today in order to bring relief to the people who are affected by the current soaring rice prices due to drought, it said.
This decision was taken by the Cabinet Sub-Committee on cost of living which met at the Ministry of Finance.
The committee convened under the patronage of Finance Minister Ravi Karunanayake, Minister for Special Assignments Dr. Sarath Amunugama, Fisheries and Aquatic Resources Minister Mahinda Amaraweera and Industry and Commerce Minister Rishad Bathiudeen.
The soaring prices of rice in the current market were widely discussed during the meeting, the ministry said.
Accordingly, customs duty of Rs.50, 15% VAT, 7.5% Port and Airport Levy and 2% Nation Building Tax per kilogram of rice have been removed. However a special commodity levy of Rs.15 per kilogram of imported rice will be imposed instead.
This move will be effective from midnight today (Jan 06).
Taxes have been reduced for rice varieties such as Samba, Nadu and Brown raw rice. However, the tax reduction is not applicable to imported Basmati.
