MP's receive luxury tax waiver on vehicles

COLOMBO (News1st): The government has waived off a Luxury Tax on vehicles imported by lawmakers who served in parliament between 2015 and 2020. The directive had been issued by finance minister Mahinda Rajapaksa on December 31 last year, state documents seen by News1st showed. Earlier, the waiver had been granted to vehicles less than 1800cc, diesel vehicles less than 2300cc, and electric vehicles less than 200kW. Rates of the luxury tax, imposed in 2019, range between 60 and 120 percent if the vehicle cost exceeds the tax-free threshold. Sri Lanka has temporarily suspended vehicle imports, according to its COVID-19 economic revival plan, citing it as a move to curb foreign currency outflows.