A delegation from the International Monetary Fund (IMF) has held discussions with the Excise Department on improving tax collection.

Four representatives  of the IMF  held a meeting with a team of senior officials of the Excise Department on Friday.

The representatives of the IMF, which included tax and economy experts, discussed steps in a capacity building program related to Sri Lanka's tax policy.

Some of the matters discussed at the meeting were, systems of income management, how to reduce tax evasion and ways to tackle persons neglecting tax payments as well as establishing a computerized system to manage the revenue management system of the excise department.

Meanwhile the Excise Department has launched raids to detect persons using forged protective stickers on liquor bottles.

The sticker system was introduced to ensure payment of taxes, maintaining quality and to confirm that the products are genuine.

However some of the companies have devised ways to using forged stickers to gain profits.

The Commissioner of Excise (Legal enforcement) Kapila Kumrasinghe said that they have deployed special teams of excise officers to carry out raids island wide in search of persons using forged protective stickers on liquor bottles.

 He added that some of the teams deployed at Thambuththegama, Thalawa, Nelubewa and Kahatagasdigiliya areas have detected liquor bottles without protective stickers and bottles suspected to have forged protective stickers.

He explained there were also invalid bottles which were not included into the computerized system.

The excise department has planned to take strict action on persons who distribute such liquor bottles.

 “ We are conducting the string of raids as we have received information that scruples businessmen are trying to earn money by pasting forged stickers on liquor bottles for tax evasion”, Mr Kumarasinghe said .

He added that the businessmen use the sticker to increase sales of illegally brewed law quality liquor for consumers, evade taxes and gain large profits and get away from other taxes including vat by hiding the true income they make.

 Elaborating on the further actions planned Mr Kumarsinghe pointed out that they would be taking strict legal action against liquor brewers, distributors and importers. 

He added that their actions would also include cancellations of  liquor permits of the breweries and the liquor shops which sell liquor bottles with forge stickers. Apart from that the excise department would also seal the shops and breweries which sell liquor bottles with forged protective sticker