If the cigarette was increased by another Rs 20 the VAT would not be necessary-Bandula
The Member of Parliament Bandula Gunawardena had added that if by a special tax the price of a cigarette manufactured locally is increased by Rs 20 the government could derive the income they anticipate from increasing the
VAT by 15%.The Member of Parliament Bandula Gunawardena had said this while addressing a media conference of the economic research unit of the joint opposition held at the former president Mahinda Rajapaksa's office in Nelum Mawatha Battaramulla the day before yesterday, the 13th instant.
It is reported that for an year four million one hundred of cigarettes are manufacture locally and accordingly a sum of rupees eighty two billion tax could be collected a year.
According the Bandula Gunawardena if this strategy is adopted as an alternative the government could derive the anticipated targets from the VAT increase instead of burdening the small industrialists with VAT.
He had said that the President could call the Minister of Finance and implement this proposal.He had added that the present income of rupees billion eighty could be increased to rupees billion one hundred and sixty two..