By: Isuru Parakrama
October 22, Colombo (LNW): Sri Lanka’s Department of Inland Revenue and Excise Department have entered into a formal agreement to strengthen cooperation in detecting tax evasion, investigating financial irregularities and combating money laundering.
The Memorandum of Understanding (MoU) was signed yesterday at the Ministry of Finance, Planning and Economic Development, under the leadership of Deputy Secretary to the Treasury A. N. Hapugala.
Inland Revenue Commissioner General Rukdevi Fernando and Excise Commissioner General M. B. N. A. Premaratne signed the agreement on behalf of their respective institutions.
Under the new arrangement, the two departments will establish mechanisms for sharing intelligence and coordinating investigations, enabling information gathered by either institution to support parallel inquiries into suspected financial and tax-related offences.
The initiative is expected to improve the detection of revenue losses by allowing officials to draw on information available across both departments, potentially helping identify discrepancies and suspicious activities that might otherwise escape scrutiny.
The agreement also seeks to expand audits aimed at uncovering tax evasion and improve the efficiency of government revenue collection. By strengthening coordination between the two institutions, authorities hope to enhance compliance with existing laws and support the Government’s overall revenue targets.
The Ministry of Finance, Planning and Economic Development said the initiative would help protect public revenue while reinforcing fiscal discipline and law enforcement.
The move comes as effective revenue mobilisation remains an important priority for the Government, with stronger enforcement and improved coordination among public institutions expected to play a role in limiting tax losses.
The success of the arrangement will depend on how effectively intelligence is exchanged, investigations are coordinated and enforcement measures are implemented in practice.
Through the agreement, the two departments aim to establish a more coordinated approach to identifying financial misconduct, safeguarding government income and strengthening the administration of Sri Lanka’s tax and excise systems.
The post Sri Lanka’s Tax and Excise Authorities Join Forces to Crack Down on Tax Evasion and Money Laundering appeared first on LNW Lanka News Web.