Goods and Services Tax Bill and VAT amendments are to be gazetted shortly

The Special Goods and Services Tax Bill and Value Added Tax (amendment) will be gazette shortly to increase the efficacy of tax collection on liquor, telecommunication, gaming etc. The Cabinet of Ministers approved a proposal by the Finance Minister to give legal effect to this matter. A press release issued by the Cabinet office said “The Budget 2021 and 2022 proposes to replace the taxes and levies imposed under various statutory laws with a single tax that is managed online to increase the efficiency of tax collection on liquor, cigarettes, telecommunications, betting and gaming and vehicles. . Budget 2022 proposes to increase the value added tax on financial services and to exempt medical equipment, devices and chemicals donated to government hospitals and the Ministry of Health under epidemic or public health situation from the Value Added Tax. The Attorney General's clearance has been received for the Special Goods and Services Tax Bill and the Value Added Tax (Amendment) Bill prepared by the legal draftsman for this purpose. Accordingly, the Cabinet of Ministers approved the proposal presented by the Minister of Finance to gazette the bills above and to submit for parliamentary approval consequently.”