The government has proposed to establish a special Tax Appeals Court under the budget proposal for the financial year 2021.
This will facilitate the resolution of tax appeals without delays, the Minister of Finance, Prime Minister Mahinda Rajapaksa said delivering the budget speech today (17).
The prime minister proposed to issue relevant instructions under the Inland Revenue Act to ensure better and transparent management with regard to the provisions for anticipated losses of loans and doubtful loans in calculating taxes of banks and financial institutions.
He also noted that the government plans to strengthen the legal provisions relating to the establishment of specific time frames for the implementation of rulings and for the settlement of appeals submitted against the tax administrative decisions made under the Inland Revenue Act.
The Premier went to note that the tax law will be amended where it will be mandatory for all Companies to file their taxes only on an “E-Filing” system with effect from 01 April 2021, and the use of the Tax Identification Number (TIN) in all tax and tax-related transactions.
