State Minister of Finance Ranjith Siyambalapitiya has addressed concerns pertaining to the recent requirement for those aged over 18 as at 31 December 2022, or is due to turn 18 on or after 01 January 2024 to be registered with the Inland Revenue Department (IRD).
Speaking to the media in this regard today (02 June), the State Minister explained that this requirement does not mean that the said individuals will be charged a tax, but instead will receive welfare benefits in the future under this respective tax file number.
Siyambalapitiya further explained that this is a common practice in several foreign countries.
A special Gazette Notification was issued on 31 May, by President Ranil Wickremesinghe, in his capacity as the Minister of Finance, Economic Stabilisation and National Policies, making it mandatory for professionals belonging to 14 categories to register themselves with the IRD.
As per the relevant communiqué, employees whose monthly contribution from both the employee and employer to any Provident Fund exceeds Rs. 20,000 are also required to register with the IRD as well as those above 18 years of age.