The Committee on Ways and Means emphasized the importance of utilizing digital technology, broadening the tax base, and strengthening institutional capacity to enhance the efficiency of Sri Lanka's tax system, while reviewing the country's fiscal performance, progress in tax revenue collection, and ongoing tax administration reforms.

These matters were discussed at a recent meeting of the Committee on Ways and Means held in Parliament under the chairmanship of Hon. Member of Parliament Wijesiri Basnayake, with the participation of officials from the Ministry of Finance, Planning and Economic Development and the Inland Revenue Department. The discussions focused on Sri Lanka's current fiscal position and reforms relating to tax administration.

The Committee reviewed the tax plan for 2026, progress in tax revenue collection up to 30 June 2026, revenue estimates, revenue performance by tax category, the existing tax base, the current level of tax compliance, the introduction of new technologies to simplify the tax system, the progress of the Revenue Administration Management Information System (RAMIS), taxation relating to digital services, challenges in tax administration, and future measures to strengthen the system.

During the discussions, it was noted that recent tax policy reforms and revenue management measures have contributed to improving stability in the country's fiscal sector. The Committee further emphasized the importance of modernizing tax administration, expanding the taxpayer base, and improving tax compliance in order to sustain and strengthen this progress.

The Committee also discussed measures to improve the efficiency of the tax system through the expansion of electronic services, enhanced data sharing among institutions, and the further development of digital systems.

Attention was also drawn to the key challenges facing tax administration, including bringing informal economic activities within the tax net, upgrading technological systems, addressing issues relating to data integration, and developing the specialized human resources required for effective tax administration.

In addition, the Committee discussed the way forward for further enhancing the RAMIS system, expanding electronic registration, filing and payment facilities, integrating data systems, and improving the overall efficiency of tax administration processes.

The meeting was attended by Deputy Ministers Chathuranga Abeysinghe, Prof. Ruwan Ranasinghe, Eranga Weeraratne, and Nishantha Jayawera; Members of Parliament Attorney-at-Law Arjuna Sujeewa Senasinghe, K. Sujith Sanjaya Perera, Dr. Nandana Millagala, Sunil Biyanwila, and Chathura Galappaththi; as well as officials from the Ministry of Finance, Planning and Economic Development and the Inland Revenue Department.