BUDGET 2021 HIGHLIGHTS | Daily News

BUDGET 2021 HIGHLIGHTS

  • Rs. 18,000 million additional provisions to combat Covid-19.
  • Daily wage of estate workers increased to Rs.1,000 from January 2021.
  • Business organizations engaged in agriculture, fisheries, livestock farming industries, exempted from taxes during the next 5 years.
  • An uncomplicated online income tax system for all income tax payers.
  • Non-residents allowed to purchase super-luxury condominiums using foreign currency.
  • Amend EPF Act to expand the retirement age for both men and women up to 60 years.
  • New laws against auditors and companies that prepare false tax records and a special Court of Appeal to hear public complaints pertaining to tax.
  • Tax exemption on dividends of foreign companies for three years, if the money is invested in Sri Lankan sovereign bonds or in the stock market.
  • Value Added Taxes kept unchanged at 8% for businesses that record a turnover of more than 25 million a month except for bank, finance and insurance companies.
  • A 50% tax exemption for local Companies listed in the Colombo Stock Exchange until December 31, 2021. A 50% income tax exemption to local companies if they register before 31 December 2021 to be listed in the Stock Market.
  • Migrant workers to receive Rs. 2 for every dollar remitted, a contributory pension scheme.
  • Samurdhi Savings Accounts for all Samurdhi beneficiaries, new loan scheme for Samurdhi beneficiaries on 7% interest.
  • New laws in relation to data security, cyber security and intellectual property.
  • Rs 8 billion for expansion of technology sector.
  • Special programme to strengthen public security spending Rs 2,500 million.
  • Television sets for rural schools to allow students to watch Guru Gedara educational programmes (Rs 3,000 million).
  • Five technological parks
  • 5 year tax relief for private educational institutions.
  • Rs. 3,000 million to initiate a scholarship programme to provide a Rs. 4,000 monthly allowance to students receiving vocational education.
  • A new insurance scheme for workers engaged in COVID-19 response.
  • Technical college’s annual intake to be increased from 100,000 to 200,000.
  • Rs 750 million allocated for housing, health, education and entrepreneurship needs of retired, injured or deceased military personnel.
  • Train compartments to be manufactured locally.
  • Railway network Colombo - Kelani Valley to be expanded with a Rs.1300mn allocation.
  • Colombo’s Marine Drive extended to Moratuwa.
  • A 300 MW Coal Power Plant and two 600 MW Natural Gas Power Plant to be constructed.
  • Repayment of refinancing loan facilities provided by CBSL to Tourism sector extended till 30 September 2021
  • Aims to create a sports economy worth USD 1,000 million during the period from 2021-2024.
  • Rs. 250 million for the development of underprivileged temples.
  • 50,000 houses already underway under UDA. A 25 year loan with interest rate of 6.25% for recipients.
  • Bilateral agreements to be reviewed, to ensure national security and SL non-aligned stance.
  • Import duty on vehicle spare parts reduced, Spare parts imports restrictions to be relaxed.
  • Two years leave for state employees seeking overseas employment.
  • Rs. 3000 million for solutions on human-elephant conflict