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* Public Servants cost of living allowance
increased from Rs 1,000 to Rs 3,500
* Cost of living allowance given to
pensioners increased from Rs 1,440 to Rs
2,000 with effect from January 1
* A Nation Building Tax in turnover on
imports, manufacturing or services other
than on the banking and financial sector for
a period of two years
* Special monthly allowance paid to
servicemen engaged in action increased from
Rs 3,000 to 5,000
* Present 15 per cent VAT decreased to 12
with effect from January 1, 2009. This will
bring immediate relief on tourism,
industries, leasing, construction,
insurance, telecommunication and production
sectors. The 20 per cent VAT on motor
vehicles, luxury goods and liquor will
continue
* Import duty on wheat grain increased from
6 per cent to 10 per cent
* A 15 per cent CESS imposed on agricultural
produce similar to black gram, kurakkan,
cowpea and sesame seed
* The Special Commodity Levy in imported
milk powder increased from Rs 5 to Rs 15
* The Special Commodity Levy on imported
sugar increased from Rs 14 to Rs 16.
* A CESS of Rs 25 on one kilo of rubber
latex and Rs 4 on one kilo of tea imports
* A 25 per cent CESS on imported maize and
animal feed
* A 5 per cent CESS on paper imports
* A 15 per cent CESS on all imports of
furniture
* A CESS of Rs 200 per kilo on all imported
footwear, hand bags, belts and other leather
goods and exempt all raw material required
for manufacturing of such products locally
from import duty and VAT
* CESS on polythene and plastic increased
from one per cent to 5 per cent
* Increase CESS on ayurvedic medicine
imports (amount not specified)
* Increase existing CESS on all imports of
fruits and vegetables (amount not specified)
* Increase CESS on sarees, sarongs,
readymade garments and material imported for
local consumption by 50 per cent
*Increase of CESS on the import of fridges,
fans and ceramic ware by 50 per cent
*Increase of CESS on chocolates, biscuits
and sweets by 50 per cent
*A 100 per cent increase of CESS on all
handicraft imports
*A CESS of Rs 10 on a kilo of imported salt
*Children between one and five years of
Samurdhi families to receive Rs 200 milk
subsidy each
*Places of religious worship, schools and
voluntary organizations to receive Rs 100
million to promote Mathata Thitha programme
*Rs 6,000 million allocated for Mihin Air
revival and construction of Weerawila
airport
*Rs 950 million to improve universities
*Income tax payable by any Sri Lankan
professional serving a company or
partnership based in Sri Lanka earning
foreign currency restricted to 20 per cent
*A 10 per cent telephone levy applicable to
mobile and cordless phones extended to fixed
telephones
*Port and Aviation Levy increased from three
to five per cent
*Setting up of a Presidential Task Force to
prepare a National Tax Policy for
implementation from 2010
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