President Dissanayake announces further PAYE tax relief in upcoming 2027 budget
Summarised by AI from 6 articles
Addressing the National Trade Union Conference in Colombo on 7 November 2026, President Anura Kumara Dissanayake announced that the 2027 budget, scheduled for presentation to Parliament next week, will revise the Pay-As-You-Earn (PAYE) tax threshold.
The government previously raised the tax-free limit from Rs. 100,000 to Rs. 150,000. Most outlets reported plans to increase the threshold further to benefit salaried employees, though Virakesari stated the threshold would be reduced.
Dissanayake noted that private sector basic salaries were increased after talks with business associations, but acknowledged that raises were insufficient without considering allowances. He affirmed the state's responsibility to protect public, semi-state, plantation, and private sector workers.
Thamilan added that essential allowances would increase, and security-related legislation would require broad stakeholder consultation before passage.
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How the story developed
- සිPresident Dissanayake proposed a digital transformation authority, an AI center, and student broadband internet vouchers.
- සිPresident Dissanayake allocated 200 million rupees for a Katunayake Airport flyover to support re-exportation centers.
- தHarsha de Silva criticized the budget for lacking structural change and maintaining previous expenditure levels.
- සිOpposition Leader Sajith Premadasa accused the government of concealing economic data and manipulating budget figures.
