ECONOMYNEXT – Sri Lanka has authorized a nationalist tax to penalize foreign advertisements to charge for one month from a previous six-month minimum charge of half a million rupees.
In a notice published in the Official Gazette under the finance law, a new license for one month paying 100,000 rupees was authorized by the Minister of Finance Mahinda Rajapaksa lowering the minimum license fee.
Sri Lanka imposed protectionist taxes on foreign teledrams and television advertisements in 2006 amid rising economic nationalism, price controls, an expansion of the range of licenses, a global re-regulation of l economy and an expansion of protectionism in services.
The ousted administration known as “ Yahapalana ”, which claimed to launch a “ social market economy ”, but which continued most economic and price controls and depreciated the currency in a blatantly mercantilist attempt to give the advantage to business owners on workers, ultimately killing economic growth also continued. protectionist taxes.
In November 2017, then-Finance Minister Mangala Samaraweera published in the Gazette a license fee of Rs 500,000 for a six-month license to broadcast foreign TV commercials. One million rupees was billed for one year.
Under Samaraweera, a tax on credit cards on online purchases has been increased, in other services and the protection of the digital economy.
The tax was increased to protect PickMe from Uber and Takas, an online retailer, government officials said at the time.
Under Sri Lanka’s system of government, the Minister of Finance can change taxes at will through official gazette notice and request parliament to approve them later. (Colombo / May 17/2021)