would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc.. 
Home
http://www.lankabusinessonline.com/fullstory.php?nid=765863007
Sri Lanka to revamp tax concessions for investors: minister
Mar 03, 2011 (LBO) - Sri Lanka's government is preparing new laws to speed up investment approvals with big projects being passed by parliament and existing tax breaks by the investment promotion agency being abolished, a minister said.
"We have brought a new legislation called the strategic investment law," Sarath Amunugama, senior minister for international monetary co-operation said.
"I was the chairman of a committee to look into this and we have suggested drastic changes and one is to abolish tax concessions given under the Board of Investments (BOI).
"Then whatever tax concessions we have given (will be brought) under the Inland Revenue act."
Amunugama spoke at a development forum organized by the Sri Lankan arm of German public interest think-tank Friedrich-Ebert-Stiftung recently.
"But for special projects, strategic in terms of the need of the country, quantum of investment, quantum of employment and so on - they will come under the strategic investment law," Amunugama said.
Investments in a new port being built next to Colombo Port and a hotel project by Shangri-La (Hotels) will come under the new law under which tax concessions can go up to 99 years and which can override existing legislature, he said.
He said under the current legislature investors have to get the nod from 18 government departments to get relevant approvals for concessions which discourages investors.
"Once it comes under the strategic investment law it will be brought to parliament and will supersede all existing legislature," Amunugama said.
"Right now the investment regime is not working well; we have to set it right."
The BOI, Sri Lanka's investment promotion agency, was set up in 1978 to function as a central facilitation point for foreign investors.
BOI firms account for nearly 65 percent of the islands exports and 86 percent of industrial exports.
In the last 30 years Sri Lanka gave generous tax concessions to lure foreign investors who would otherwise have been deterred by the civil war and political unrest.
The war ended nearly two years ago enabling the government to end tax concessions that had caused heavy revenue losses.
Sri Lanka to revamp tax concessions for investors: minister
Mar 03, 2011 (LBO) - Sri Lanka's government is preparing new laws to speed up investment approvals with big projects being passed by parliament and existing tax breaks by the investment promotion agency being abolished, a minister said.
"We have brought a new legislation called the strategic investment law," Sarath Amunugama, senior minister for international monetary co-operation said.
"I was the chairman of a committee to look into this and we have suggested drastic changes and one is to abolish tax concessions given under the Board of Investments (BOI).
"Then whatever tax concessions we have given (will be brought) under the Inland Revenue act."
Amunugama spoke at a development forum organized by the Sri Lankan arm of German public interest think-tank Friedrich-Ebert-Stiftung recently.
"But for special projects, strategic in terms of the need of the country, quantum of investment, quantum of employment and so on - they will come under the strategic investment law," Amunugama said.
Investments in a new port being built next to Colombo Port and a hotel project by Shangri-La (Hotels) will come under the new law under which tax concessions can go up to 99 years and which can override existing legislature, he said.
He said under the current legislature investors have to get the nod from 18 government departments to get relevant approvals for concessions which discourages investors.
"Once it comes under the strategic investment law it will be brought to parliament and will supersede all existing legislature," Amunugama said.
"Right now the investment regime is not working well; we have to set it right."
The BOI, Sri Lanka's investment promotion agency, was set up in 1978 to function as a central facilitation point for foreign investors.
BOI firms account for nearly 65 percent of the islands exports and 86 percent of industrial exports.
In the last 30 years Sri Lanka gave generous tax concessions to lure foreign investors who would otherwise have been deterred by the civil war and political unrest.
The war ended nearly two years ago enabling the government to end tax concessions that had caused heavy revenue losses.
