Concerns pertaining to e-commerce platform taxation resolved, officials inform COPF

Concerns pertaining to e-commerce platform taxation has been resolved, officials have told Parliament's Committee on Public Finance (COPF). Participating at the recent COPF meeting Chaired by MP Dr. Harsha De Silva, they stated that operations are now flowing smoothly following earlier delays caused by the switch back to HS code-based taxation, Parliament's Department of Communications stated. 

The Committee also discussed proposed improvements to the Gambling Regulatory Authority Bill, with the Committee advocating for the inclusion of the National Lotteries Board and Development Lotteries Board within the regulatory framework, emphasizing that lotteries constitute gambling and should not be excluded.

The COPF also received an update on the cross-border letter of credit (LC) requirements for vehicle imports. During the COPF's recent meeting Chaired by MP Dr. Harsha De Silva, Treasury officials informed the Committee that the Cabinet of Ministers has decided to re-export all vehicles imported under cross-border LCs, though this decision is currently under legal challenge, preventing further discussion.

Moreover, the Committee also inquired on the BYD vehicle issue, where over 1,000 cars remain detained at the Port, the Chair questioned custom officials about allegations against one of the country's major companies. Customs officials indicated investigations into suspected engine capacity understatement to avoid taxes, as duties are calculated based on engine capacity. While investigations continue, the Chair expressed concern about potential diplomatic implications, urging authorities to apply international standards rather than local investigations that may not meet international benchmarks, Parliament's Communications Department stated. 

The meeting was attended by Deputy Minister Chathuranga Abeysinghe, Members of Parliament Ravi Karunanayake, Rauff Hakeem, Attorney at Law, and (Dr.) Kaushalya Ariyarathne.