The Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka) has called for a strategic pivot toward smarter tax administration and compliance-led revenue growth in proposals targeted for Budget 2027.
The professional accounting body underscored the critical need to optimize revenue collection mechanisms through administrative efficiency, modernized systems, and enhanced taxpayer compliance rather than placing additional burdens solely on existing compliant taxpayers. Strengthening the administrative machinery and closing structural loopholes remain central priorities to expanding the national revenue base effectively.
Key Proposals
- Implementation of smarter, modernized tax administration systems to enhance collection efficiency.
- Focus on compliance-led strategies to broaden the revenue base sustainably ahead of Budget 2027.
- Strengthening institutional frameworks to encourage voluntary compliance across sectors.
As fiscal planners look ahead toward mid-term economic targets, adopting robust compliance measures and leveraging digital tools are viewed as fundamental drivers to securing sustainable state revenues without dampening economic activity.