President removes tax imposed on gem and jewellery field

Sept 07, Colombo: President Gotabaya Rajapaksa has decided to take away the 14% profits tax imposed on the gain gained by the gem and jewelry manufacturers and the 15% tax on gold imports, President’s Media Division explained.

The revenue tax concession presented to the gem and jewelry field because 1971 was accomplished away with below the revenue tax plan launched in 2017. This designed a scenario exactly where the actual cash flow acquired from the export of gem and jewelry could not be disclosed.

In 2018, a 15% tax was imposed on gold imports. This has resulted in jewelry selling prices going up. President pointed out the necessity of taking away related taxes immediately and to get ways to uplift the gem and jewelry sector.

President Rajapaksa created these remarks throughout a meeting to examine long term functions of the State Ministry of Gem and Jewelry related Industries held at the Presidential Secretariat now (7).

The 14 proposals place ahead by Condition Minister Lohan Ratwatte to resolve the problems pertaining to Sri Lanka’s incapacity to become the international hub for gem were talked over in size.

Minister Ratwatte highlighted the significance of facilitating the importation of higher priced gems exclusive to other international locations and are not identified in Sri Lanka and protecting a gem reserve.

President Rajapaksa explained that all relevant institutions really should be introduced into a single place to steer clear of delays in the issuance of gem mining licenses. He even further instructed the point out-owned financial institutions to deliver a mortgage of Rs. 1 million at a concessionary desire amount of 4%, to jewelry brands and common Jewelers to obtain gold.

It was also resolved to take out the boundaries that had obstructed the release of uncultivated lands with gem deposits belonging to plantation companies and to choose above manage of these lands for the profit of the mining industry. President Rajapaksa instructed the officers to expedite the construction functions of the proposed Gem Investing Advanced and Teaching Centre at Demuwawatha, Ratnapura.

Unregulated and illicit gem mining is using spot in spots that contains abundant gem deposits of the Ratnapura District on massive scale. President Rajapaksa urged officers to right away halt the gem mining routines that are carried out in a unsafe way to the natural environment as perfectly as to remove limitations to the standard gem mining market. A quantity of sights introduced for the advancement of the sector were being talked about in depth at this meeting, which include the growth of the Gem Laboratory of the National Gem & Jewellery Authority on par with intercontinental expectations.

Minister Wimal Weerawansa, State Minister Lohan Ratwatte, Head of the Presidential Endeavor Force on Economic Revival, Basil Rajapaksa, Secretary to the President P.B. Jayasundera, Officers of the Line Ministries and the gem and jewellery industrialists participated in this conference.