Deputy Minister of Finance Anil Jayantha Fernando says the government could have removed taxes if not for the agreement with the International Monetary Fund (IMF).
Speaking during a televised interview with local media, the Deputy Minister clarified why the government could not remove taxes in its inaugural budget, as promised during the Presidential Election.
“The budget is not the only measure that could be taken to fulfil the expectations of the people. And the inaugural budget is also not the only tool to address this. This budget is to place the foundation for the path to fulfil the needs of the public,” he said.
Deputy Minister Anil Jayantha Fernando further emphasized that the government’s aim was to remove Value Added Tax (VAT) from unnecessary items.
“Tax could have been removed in the inaugural budget if the IMF agreement was not in place. We were only able to decide on the course of action with the IMF after assuming power,” he explained.
Deputy Minister of Finance Anil Jayantha Fernando acknowledged that the government intended to remove taxes in its inaugural budget, but was unable to do so. (Newswire)