Increase in taxes and liquor prices threaten closure of Sports Clubs in Matara

Text and pictures by P. D. DE SILVA 

The unreasonable increase in taxes to be levied from Sport Clubs added to the increasing price of liquor may force the ten sports clubs in Matara to put up shutters in 2016, Treasurer of the Association of RB13A licensed Sports Clubs in the Matara District K. S. Lalith said.

“We only paid Rs 170,000 to renew our licenses for the period of 1 January 2015 to 31 December 2015 in keeping with Gazette Notification No. 1680/24 of 19 November 2010. But the license fee for RB13A category was increased to Rs. 600,000 by the Government Gazette Notification No. 1901/19 on 13 February 2015. We have been asked to pay an additional Rs. 450,000 for the year 2015, even though the tax was increased in February 2015. We have to pay this amount as well as a one-time fee of Rs. 250,000 plus the Rs. 600,000 licence fee and stamp fees of Rs. 20,000, which adds up to a staggering one million three hundred and twenty thousand rupees,” he elaborated. 

“There are ten sports clubs within the Matara Municipal Council Area. It is we who sponsor the Matara District Sports Festival as well as the Local Government Institutions Sports festival annually.  We also provide scholarships for promising athletes and also contribute towards town beautification and other social welfare projects in addition to taxes and other levies.  This was possible due to the profit earned from liquor sales. 

Compared to popular sports clubs in Colombo ours are small establishments where the membership comprise mostly of daily wage earners who spend half an hour or so at the club before going home” 

“We would be most grateful if the Hon. Minister of Finance would review his decision and assess the size of the establishments before levying taxes and also not charge the additional Rs. 450,000 which has to be paid for the year 2015,” he concluded.