SJMS Associates’ budget briefing highlights tax implications of 2015 budget

Friday, 7 November 2014 00:01 - - {{hitsCtrl.values.hits}}

A budget briefing was organised by SJMS Associates recently, focusing on vital aspects of the Government’s 2015 budget proposals with an added emphasis on its tax implications on Sri Lanka’s economy. The seminar was presented exclusively for the firm’s clients and business associates and was held at Galadari Hotel last week. The panel of tax experts comprised of Department of Inland Revenue Commissioner (Secretariat) D.R.S. Hapuaarachchi, SJMS Associates Managing Partner M.B. Ismail, SJMS Associates Partner Sarala Kodagoda, Tax Director P. Sivasubramaniam and SJMS Associates Tax Consultant S.T. Gobalasingam.

Delivering the keynote address on the 2015 budget, Hapuaarachchi focused on salient points whilst emphasising the progressive nature of the

budget proposals and its renewed focus on growth. The commissioner further elucidated on specifics regarding business and personal taxation, proposed tax exceptions and concessions afforded under this new tax regime – in addition to VAT and NBT – while underlining the expected outcomes on businesses and the economy as a whole. The panel critically reviewed some of the key proposals and presented an overall analysis, assessing the bottom line impact and its implications for both individuals and the business community. The Q&A session which followed the panel discussion also provided an opportunity for the audience to seek any clarifications on the proposed changes. Ismail stressed that Sri Lanka has a significantly attractive tax rate regime in comparison to the region and a perceptible decrease in tax rates could be noted since 2011/2012, as well as concessionary rates for professionals and other employees. He further highlighted the concession announced for skill development in the budget and noted that in addition to this, emphasis on quality improvement and productivity, 2015-2020 should have been declared a period of quality and productivity. Kodagoda highlighted that the submitted proposals aim to ensure an upward trend of economic growth while protecting the wealth of the country. SJMS Associates is an independent correspondent firm to the global professional services firm Deloitte Touche Tohmatsu. The firm provides services that assist the growth and competitiveness of businesses, including Assurance and Advisory, Tax Advisory, Consulting, Financial Advisory Services, Restructure and Corporate Recovery Services.