Non-cash benefits not in PAYE Tax category

COLOMBO (News 1st); Non-cash benefits were removed from the PAYE tax category, said President’s Trade Union Director General Saman Ratnapriya on Wednesday (8).

A Senior Official from the Finance Ministry also confirmed that the relevant circular was issued.

The government's controversial new tax law, the Inland Revenue (Amendment) Bill, was passed in Parliament and the new tax regime imposed an extraordinary maximum 36% tax bracket on monthly income, with the lowest bracket starting at 6% for those earning over Rs. 100,000/- per month. 

The new taxes have been criticised by the country's professionals, the Opposition, and economists as they claim it includes all their allowances that they depend on to survive.