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Monday, 26 November 2001  
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Tax discrimination

The "Pay as you earn" Tax was introduced in October 1971 with a view to collect taxes from employed income in an expeditious manner. i.e., the tax is collected in monthly instalments from employed persons.

Employment income includes wages, salary, commissions, overtime pay, travelling allowances and other allowances, fees, or such other profits from employment that arise or accrue in such pay period.

At present all private sector employees whose employment income are over Rs. 12,000 per month or over Rs. 144,000 per annum are liable to P.A.Y.E. tax, whereas all public sector employees inclusive of parliamentarians are exempted from paying this tax.

(With effect from 1st April 1978, the public sector employees were exempted from paying this tax). Why this discrimination please?

After all both the private sector employee and the public sector employee buy their loaf of bread from the same bakery and their kilo of parippu (dhall) from the same grocery, for the same price.

Then why discriminate between the public sector and private sector employee. With so many privileges enjoyed by public sector employees, one must not forget that the public sector employees are entitled to a non-contributory pension scheme, whilst the private sector employees are taxed on their retiring gratuity and Employees Provident Fund. The present tax slabs for terminal benefits (Gratuity E.P.F./E.T.F. etc are as follows).

Rs. Rate

1st 500,000 Exempt

Next 150,000 5%

Next 150,000 10%

Balance 15%

N.B.: * Retiring gratuity in excess of Rs. 1.8 Mn is taxed as normal income.

* Compensation on voluntary retirement - exempt.

Perhaps the most heartless and iniquitous tax to be imposed to date has been the taxing of a private sector employee's provident fund. It must be remembered that this is not merely double taxation but taxation of one's savings as well.

Article 12 (1) of our Constitution states that QUOTE: All persons are equal before the law and are entitled to the equal protection of the law: UNQUOTE.

Now, where is this equity as far as the PAYE is concerned?

Are not private sector employees citizens of Sri Lanka being entitled to equal treatment in the eyes of the law?

Taxes after all, are the dues that we pay for privileges of membership in an organized society, but the tax system should bear the essential requisites of equity or fairness. No section of the society should be forced upon to bear an unfair burden or enjoy undue advantage.

Bernard Shaw once said taxes are meant to rob Paul to pay Peter. How very truthful is this connotation when one sees the manner in which the PAYE tax is being implemented in Sri Lanka today.

Trust the parties concerned who normally show some mercy during election time, will address their minds to this grave anomally. However, the private sector employees must not fail to thank government for having abolished the "Save the Nation Contribution" with effect from October 2001.

N. SRI PRAGASA ,Colombo 6

Will Sri Lanka become a second Afghanistan?

Liberation Tigers of Tamil Eelam have done it again. This time they have achieved a distinctive leap forward. A new vehicle is being harnessed on their journey to the utopian Eelam.

Since late 1980s they harnessed various vehicles. The driver, of course, is from a major political party. But LTTE introduces the conductor. He could demand the driver to steer the vehicle straight forwards or to lean on to right or left. The journey will end in a mighty crash. The conductor will jump out before the crash. Having accomplished the required distance, the LTTE will then hunt for a suitable vehicle and a competent driver.

The LTTE was able to hoodwink the leaders of our country as well as the leaders of the neighbouring giant. However, they failed in their attempt to hoodwink the present President of Sri Lanka, but for a short period.

When they knew that she could become the President again for a second spell without their 'immoral support' they decided that she should be eliminated. Anyway fate intervened.

The terrible drawback they suffered led them to re think and recast their strategies.

These are not born through the mind of an individual like Mr. Prabhakaran. It is the concerted effort of the elite 'A - Team' which is international. Having failed to get the reins of the Parliament to the favoured hands in the last general election, this A - Team set to work immediately. It was really essential that they worked fast.

The world scenario was increasingly becoming antagonious to the terrorist groups. If they do not work fast, their super goal of 'Eelam' will definitely fail. They dreaded the foreign policy adopted by the present government and the role played by its Minister of Foreign Affairs.

Now let us analyse the immediate strategies they adopted;

To take advantage of the anti war feelings in the country.

To lure the Sri Lankan businessman with international business interests to get involved with LTTE, directly or indirectly.

To destabilise the constitutional/legislative environment of the country. To search for the most corrupted immoral and money crazy politicians within the ruling party or in the coalition and to hire them with millions of cash to disparage the President of the country so that her international profile will be demeaned.

We have to understand the reasons why the LTTE adopted these strategies on an emergency basis.

The world wide terrorist organizations are facing a bleak future. If delayed LTEE will go in to wilderness.

If action is not taken in the home country to lift the ban of LTTE, all the resources of LTTE amassed in the banks and other business ventures in the foreign countries will dry off.

So the LTTE acted fast. Everything depends on the money. Politicians were bought. LTTE is the enemy of the peace loving, honourable Tamil people. Today the TULF is a kitten in the hands of the Tigers. They have no voice, but speak with the voice of Tigers.

Although the LTTE appears to have struck a pact with other minority groups in the North and East, the time will decide their elimination from earth. A Muslim Council in the LTTE dominated area is simply a mirage. There will be massacre, bloodshed and death for innocent people.

In its hectic rush to get the ban lifted in the home country, the LTTE adopted the following strategies.

They engineered the collapse of the PA coalition by conspiracies.

They tried their best to get the power transferred to the opposition prior to the completion of one year of the government.

If that was done, money would have done the rest. Many will join the new government implying various reasons. There would have been an impeachment of the President.

In a short time, an acting President will assume the leadership.

Tigers will implement their plan as conspired.

Whatever the past was, Sri Lankan nation will salute the JVP one day for preventing this sinister situation. In fact, one aim of the LTTE is to eliminate the JVP which is the major threat in the South.

It is utterly disheartening to note why the respected persons in the UNP especially the progeny of those highly esteemed forefathers who fought for independence, does not see this devilry against this blessed country Why are they not concerned?

Finally, if a government which is remotely controlled by LTTE comes to power, Sri Lanka will become a second Afghanistan.

It is not only Sri Lanka that will suffer at their blood tainted hands. India and other countries in the Region will also suffer being the next victims in line.

A. MYLVAGANAM

CTC as cricket sponsor

This has reference to the news item which appeared in the Daily News (22/11/01) along with a statement of the Board of Control for Cricket in Sri Lanka. The Board has refuted claims that it had accepted Ceylon Tobacco Company as a sponsor of the current Test series involving the West Indies and a subsequent one with Zimbabwe. They say that eight reputed companies including Ceylon Tobacco Company have secured rights to sell their products at the venue of matches and that such companies are not sponsors.

Finally the statement says that this company has been securing rights to sell products at match venues for over 20 years. (I wonder how many children would have been captured through cricket during the last 20 years!).

First of all I would like to say that we have a copy of the official sponsors' document issued by the Board of Control for Cricket in Sri Lanka at its media conference held containing the list of product sponsors wherein the name of Ceylon Tobacco Company is also included as a sponsor for this event.

With regard to the claim that "this company has been securing rights to sell products at match venues for over 20 years", I quote from the official circular issued by the Ministry of Public Administration, Home Affairs and Plantation Industries, numbered 08/99 dated 18th March 1999 which states thus;

"It has been decided to implement forthwith the following administrative arrangements, taking into consideration the recommendations presented by the Presidential Task Force on Tobacco, Alcohol and Illicit Drugs;

" * Smoking in all state institutions should be prohibited;

" * Sale of cigarettes and tobacco-based products in canteens of these institutions should be stopped.

" * Advertising in any form for the promotion of smoking within State institutions should be prohibited.

" * Accepting sponsorships by state institutions from those who promote smoking should be prohibited.

"Please take steps to comply with the above arrangements. Sgd. Secretary, Ministry of Public Administration."

The Board of Control for Cricket in Sri Lanka, I look forward to hearing your reply in this regard.

DR. WASANTHA DISSANAYAKE , Mt. Lavinia

Hidden danger of UNP Manifesto

According to UNP manifesto released last week, an Interim Administration is to be granted for the merged North and East.

It does not spell out the powers devolved to this interim administration and also does not specify a period for which it is going to be established.

These are very sensitive and important areas people of this country would like to know.On the contrary the package brought forward by PA Govt spells out everything in great detail although there still may have some grey areas.

What is most dangerous in the UNP manifesto is the fact that it says that ethnic problem will be subjected to a wide discussion and no constitutional changes will be made until a consensus is reached by all sections of the society.

No one in proper sense would ever expect a solution acceptable to everybody, to this very complex ethnic issue. What does it really mean? The interim council given for the NE will be there for ever.

Won't that be the EELAM that Tigers have been fighting for.

Won't that be the end of the unitary state of our country. I sincerely hope all Sri Lankans realize the hidden danger of this UNP manifesto.

PIYASIRI YAPA , Dickwella

UNP's Memorandum of Understanding with Tamil Alliance

UNP has categorically denied any affiliation with the LTTE. But we all know that the Tamil Alliance is under the influence of LTTE and UNP has a Memorandum of Understanding (MoU) with them. This shows that there is a virtual MoU between the UNP and LTTE.

We, the citizens of Sri Lanka need to know what is in this UNP - Tamil Alliance MoU. No Sri Lankan will believe politicians any more. We have been told too many lies by them. Unless we see the hard facts, no body will believe any thing they say.

It is time that the UNP show the country all the MoUs signed by them with other political parties.

This is a time that the LTTE has been banned by most Western countries. And now they are getting cornered. If the UNP/UNF comes in to power and lifts the ban, what would the world say? Don't play Russian Roulette with the country's future. We the voters of Sri Lanka need to know if the UNP/UNF comes in to power whether they will lift the ban on LTTE or not. Don't beat around the bush. Just let us know in black and white, yes or no.

JAYANTHA DE ALWIS , Colombo 5

President's visit to London

I am concerned and rather dismayed by the comments made by some of the newspapers in Sri Lanka about the outcome of the President's recent visit to London.

As a Sri Lankan living in the UK for nearly 3 decades, I have seen various political leaders come to London to try and make an impact, at the expense of the State. One thing I can say is that only two politicians namely Mr. Kadirgamar and Mrs. Kumaratunga have made an impact on the British public and its governments over the terrorist problem which our motherland has suffered from for more than two decades.

We Sri Lankan expatriates have organised rallies and meetings with leading political figures in the UK to explain the correct position of the LTTE activities in the UK, and terrorist activities carried out against defenceless people in Sri Lanka. However, we received a deaf ear from those who traditionally take the side of the underdog and sympathise with them. On the other hand, the LTTE has a most powerful propaganda machine, paying large amounts from their funds to PR companies in the UK to mount campaigns on their behalf. It was extremely hard to correct this image that they were creating until Mr. Kadirgamar's efforts, for which the whole nation should feel grateful.

It is with pride that I note that Mrs. Kumaratunga's interview with David Frost, one of the toughest interviewers in Britain, was very successful in putting across her point.

One has to remember that these tough interviewers always try to make the interviewee feel uncomfortable. I can recall David Frost interviewing the late Mrs. Indira Gandhi, and how she was made to feel uneasy in answering some of the questions put to her. Mrs. Kumaratunga's interview with CNN was also excellent. She was able to make her point despite the barrage of questions put across to her by LTTE sympathisers.

Furthermore, Mrs. Kumaratunga was able to make an excellent speech at the Oxford Union.

It is questionable then, whether any of the present Sri Lankan politicians could make an equal, if not better, impact? It was only after the President's meeting with the British Home Secretary, that the LTTE funds were frozen in the UK.

Our nation should be thankful to the two leaders who were able to change international attitudes towards terrorism. I may not agree with the local politics in Sri Lanka, but I speak proudly of Sri Lanka, especially after the fruitful visit of the President to the UK. Every penny spent on this was valued by the Sri Lankans in the UK who look up to our motherland.

K. B. HERATH , London, UK

Eric Swan: A life sacrificed for a photograph

Recently, an article by Ariyawansa Weerakkodi on titled "Eric Swan: A life sacrificed for a photograph" was published in the 'Daily News'. On September 19 1951, there were six of us in the party, but only three of us Eric Swan, William Blake and I went up to the elephant at Meenvillu, Polonnaruwa.

After we positioned ourselves directly behind the elephant I kept watch while the two photographers continued to work. Perhaps the metallic wire of Blake's cine camera or the loud click of Eric's camera shutter or a sudden change in the direction of the wind disturbed the feeding cow elephant. It turned, faced us; coiled up its trunk; fanned out its ears and charged.

I alerted the others and ordered them to run as the elephant charged. I ran a short distance then tripped and fell. When I sat up, I saw Eric about 20 or 30 feet away from me. He was attempting to bring down the elephant with his 303 P 14 match rifle. He fired from his position but the shot had no effect.

As he attempted to reload, the elephant pushed him down with her knees and trampled him. I fired from my position. The ball appeared to have had no effect on the elephant but it left Eric and seeing Blake went after him. The latter prudently took refuge behind a patch of jungle and escaped. AT no stage did the elephant as reported by Mr. Weerakkodi grab Eric by his feet, raise him to the sky and dash him on the ground once and walk away.

I have great respect for that brave and gallant gentleman Eric Swan. This letter is written merely to correct an inaccuracy reported by Mr. Weerakkodi. William Blake's report was published in the 'Ceylon Observer of September 23 1951. The writer's account was published in The Fauna Conservation Society Journal, The Loris of 1964.

STANLEY DE SILVA, Scarborough, Canada.

FMM wants a monopoly

Having realised that they cannot match the state media and also having failed to deliver the goods, the last time, the Free Media Movement now wants a monopoly. So, it is reported, that they are trying to influence the Independent Election Commissioner to muzzle State media. Not the done thing comrades! You do not kill the neighbour's son, because your son is a dud! One fails to understand how State media can obstruct them in their lawful duties.

There are two sides to any story.

An alternative media to the anti-PA media is a must, and the State media does just that. If voters do not fall for canard invented by the so-called free media, that is their inefficiency. The State media gives the voter, the correct picture, and it is neutral in the eyes of the public.

Well done State media. Keep on the good work and be no party to FMM's credibility problem.

P. WASALABANDARA , Udadumbara

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