Sri Lanka Poised to Criminalize Tax Non-Compliance with New Amendments

Sri Lanka is preparing to introduce significant amendments to the Inland Revenue Act, which will classify several tax-related failures as criminal offenses. These proposed changes include making it a prosecutable offense for citizens over 18 to fail to obtain a Tax Identification Number (TIN), to neglect filing required tax returns, or to fail to appear before the Commissioner General of Inland Revenue when summoned. The amendments, recently published in an extraordinary gazette, are slated for parliamentary debate on May 19. The government's objective behind these stricter measures is to expand the tax-paying population and enhance national revenue collection.