News Today: President Vows to Dismantle Corruption System in Sri Lanka Now

In a bold declaration that is resonating across the country, President Anura Kumara Dissanayake affirmed yesterday that the existing corrupt system of stealing public funds will be dismantled (Dismantle Corruption System). Speaking at the inaugural ceremony of the ‘Tax Power’ national programme, the President promised strict action against those involved in corruption, regardless of their social or political standing.

“Can anyone justify stealing public funds after receiving education through public money and drawing a salary from taxpayers?” questioned the President. With this powerful statement, he emphasized his administration’s intent to initiate a systemic overhaul to tackle embedded corruption. He reiterated, “This is not about blaming individual institutions, but breaking a deeply interconnected system.”

Entrepreneurs who lawfully conduct business and pay fair taxes must be protected, he stated. “Hardworking citizens who pay taxes deserve confidence that their contributions are safeguarded. We must rebuild public trust.”

Highlighting Sri Lanka’s economic struggles, the President revealed that the current government had inherited a nation in a state of collapse. He stressed the urgent need for a well-structured and fair tax system to revive and rebuild the country. According to News Today, this marks a pivotal shift in national governance.

The President emphasized that Sri Lanka is still under economic probation, and the Extended Credit Facility with the IMF must be the last bailout the nation needs. “Now is the time to build a self-sufficient economy,” he added.

He criticized the widespread tax evasion and the negative perception of taxation in the country. Many institutions even advise how to avoid taxes legally, a culture which has developed from weak tax administration and the public’s mistrust stemming from previous misuse of tax revenues.

A glance at the compliance statistics paints a troubling picture:

• Only 43% of registered companies filed tax returns.

• Just 23% of income-liable individuals filed returns in 2023–2024.

• PAYE tax compliance stands at a mere 18%.

• Partnerships filed at a 46% rate.

“These figures are unacceptable. Our first duty is to assure citizens that every rupee of their tax money will be used responsibly,” President Dissanayake declared.

He mentioned personally relinquishing many privileges tied to the Presidency, aiming to cut unnecessary expenditures. “We are under a regime of discipline and accountability. Parliament and Cabinet members are following suit.”

As part of this tax reform movement, Tax Shakthi – National Tax Week was launched to change negative public perceptions about tax compliance. From June 2 to 7, awareness programmes will educate the public on how tax revenue benefits national development.

In a symbolic and historic gesture, the President became the first individual to submit his 2024/25 income tax return through the newly launched online portal developed by the Inland Revenue Department.

Furthering this commitment, the Sri Lanka Customs Department implemented the ASYHUB system supported by the German Government and UNCTAD. This system allows for the clearance of risk-free shipments before they arrive, expediting the import process and reducing inefficiencies.

The Excise Department also introduced a mobile application that identifies legally manufactured alcoholic beverages using secure labelling, a step toward transparency in excise duties.

Dr. Nandika Sanath Kumanayake, President’s Secretary, emphasized that Tax Week aims to boost compliance among businesses and the general public, helping to expand the national tax base.

Finance Secretary Mahinda Siriwardana echoed the sentiment, calling tax payments an investment in the country’s future.

Russell Aponsu, convenor of the Clean Sri Lanka initiative, added, “Tax compliance plays a vital role in building a well-disciplined, ethically governed nation.”

This initiative and leadership style mark a significant pivot in Sri Lanka’s socio-economic policy direction. By linking News Today updates with long-term accountability goals, the administration is pushing for a cleaner, more efficient public service.

President Anura Kumara Dissanayake has now set the tone for a new era of transparency and fiscal discipline in Sri Lanka. With active public participation, digitization of systems, and strong leadership, Sri Lanka may finally break free from the cycle of corruption and financial mismanagement.

This moment signals more than just a tax reform. It is the start of a national transformation, placing public accountability at the heart of governance.