I have accomplished far more difficult tasks – MR Reducing taxes by 20%:
Posted on June 11th, 2018

The same people who challenged him to end the war a decade ago were now daring him to reveal how he could reduce the taxes by 20%, former President Mahinda Rajapaksa told The Island yesterday.

“I took up their challenge and enabled our military, police and the civil defence force to neutralise terrorism. Some of my detractors belittled the war effort and the sacrifices made by the troops. I think everyone remembers how some people derisively asked us at the height of the war whether our troops had mistaken Pamankada for Alimankada (Elephant Pas) and Medawachchi for Kilinochchi. Most of these people didn’t even think of going to the north and the east when the LTTE was active and now they have all become tough guys.

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“Some of them would wet their pants when Prabhakaran roared in the Wanni. They were hiding under beds fearing the Tigers. We defeated terrorism and, today, they are moving about freely like heroes while conspiring with foreign powers and LTTE fronts against the national military.

“They even demeaned the capture of Toppigala by calling it a barren rocky terrain”, Rajapaksa said.

Speaking to The Island a few weeks ago, Rajapaksa said that he would reduce the taxes by 20% under a future administration. In response, speaking at a function in Ranwala, Dompe, Prime Minister Ranil Wickremesinghe asked Rajapaksa how he would repay the country’s debt after reducing taxes.

5 Responses to “I have accomplished far more difficult tasks – MR Reducing taxes by 20%:”

  1. Dilrook Says:

    I’m afraid this is only political talk. I’m looking at this from the national (not political) point of view.

    During Mahinda’s term (since 2012) our debt service as a percentage of state revenue was over 95%. In some years it was over 100%! That means all state revenue went for loan repayment and interest payment. No money to pay salaries and other expenses. That was borrowed. This is called the debt trap.

    This regime (to its credit) improved this percentage to 80% last year by imposing high taxes which in turn reduced economic growth rate.

    But the comparison should be which is worse – tax people or further borrow. Obviously the lesser of the two evils is to tax people. Otherwise we are further sinking into the debt trap.

    If tax is reduced by 20%, our debt service percentage once again rises to 100% (80% + 20%). There will be no money to pay public sector salaries and other expenses. It has to be borrowed. We sink further into the debt trap. This is the “heta marunath hithata sapai ada jolly karala” mentality that ruined the nation.

    If we are serious about saving the people’s economy and the national economy, instead of cutting down the tax rate, the government must temporarily abolish all provincial councils and local government bodies (“pradeshiya Sabha”, etc.) and impose direct rule that saves billions. Then the tax rate can be reduced. Can Mahinda agree to that? I don’t think so. This is the difference between what is good for the nation and what is good for party politics.

  2. Ananda-USA Says:

    Dilrook,

    Do you want Mahinda to COACH Ranil Wikunanasinghe so he can IMPLEMENT MR’s ECONOMIC RESCUE ideas in the next 18 months and ESCAPE the coming OUSTER of the UNP and ALL OF ITS ASSORTED CROOKED MAFIA??

    Ranil Wikunanasinghe whet on many trips to the USA to learn how to do REGIME CHANGES while ROBBING the Nation Blind in the PROCESS! Let HIM now FIGURE OUT how to ESCAPE the COMING TSUNAMI without Mahinda’s help!

    Mahinda should ONLY NUDGE this TREACHEROUS PARA-GATHI AGA-MATH Ranil Baba and his 40-UNP THIEVES over the ELECTORAL CLIFF onto the ROCK PILE of Bogambara Prison below!

  3. Dilrook Says:

    I’d rather support Gotabaya’s economic vision (based on his speech) which didn’t have this promise.

  4. L Perera Says:

    The Hague calls the killing of innocent Civilians a crime against Humanity. Those responsible for the Bond Scam, can by the same token be accused of robbing from the state coffers and there by have driven millions of the citizens living poverty to even lower levels of the same. Is this not a crime against humanity.?

  5. Christie Says:

    The problem we the colony of India has is the same as in other Indian colonies.

    The Indians do well.

    We are poverty ridden.

    Most of our wealth ends yup in the hands of Indians and India.

    It may be the Bond fraud or the three wheeler ride that broke the leg.

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