Opposition Slams Proposed Tax Clause for ‘Criminalising’ Small Businesses 📈

• Overview: Opposition Leader Sajith Premadasa has criticized the Government’s proposed tax reforms, specifically targeting Clause 185A, which he claims unfairly penalizes small business owners and ordinary taxpayers. • Key Concerns: The proposed clause could turn routine administrative errors—such as registration lapses or delayed tax filings—into criminal offences. Concerns were raised that SMEs and struggling entrepreneurs are being equated with deliberate tax evaders. The Opposition argues the law lacks proportionality and "weaponises" tax enforcement against the common citizen. • Proposed Alternatives: Calls for modernizing the Inland Revenue Department (IRD) and simplifying compliance instead of pursuing punitive measures. Emphasis on prioritizing laws against corruption, money laundering, and financial fraud rather than targeting administrative failures. • Context: The debate highlights growing tension between the Government's revenue collection strategies and the operational survival of the SME sector, which is a critical driver of national employment.