Sri Lankan Citizens Working Abroad

[Nalin Sathsara]

I'm new to this Forum. Can anybody tell me Gift permit (or any other permit) is still available for Sri Lankan citizens who are working abroad?

According to government's website gift permit has been suspended since December 2011 (http://www.imexport....-events〈=en) :speechless-smiley-019: . But I doubt whether they again started issuing these permits or not.

Does anyone know about the latest status of it?

I have sent money (more than 20,000 USD) to Sri Lanka during my 2 years of stay in abroad. I'm still working abroad and I have evidence to prove my remittance to Sri Lanka. Is there anyway I can import a car older than 2 years?

Any help would be appreciated!

[The Don]

My point is you're paying taxes in the foreign country, and you do not have to pay any taxes in SL when you bring your income over.

You have a point madmax. But when these individuals spend that foreign exchange in Sri Lanka making purchases or making investments and with the exception of NRFCs you pay tax on those purchases or profits made from investments in Sri Lanka. I think another thing to note is especially if you are making remittances for investments or savings, you do not have to make those investments in Sri Lanka though many chose to do so which does benefit the country. You can keep that money wherever and there are tax benefits on keeping those investments in so called "tax havens" which Sri Lanka is not. So to encourage such behaviour is good for Sri Lanka.

[xXx]

OK let's look at this another way - As someone who doesn't work overseas and remit lots of greenbacks to SL I could argue that it isn't fair that permits are issued to those who do....

I bust my gut locally to work for a company that exports and therefore earns loads of dollars, why should I not get a permit too ... the same argument applies... oh and by working locally I also pay tax on my meager salary, so actually I contribute more to the economy than some SL citizens working abroad ...... The company I work for also provides employment to other sri lankans thereby enriching the economy .... yet I am deemed relatively unworthy.....

yup sour grapes, but a valid argument...

Nahoy, you are missing the big picture. If the organization you are working for is in the export sector I am sure the company as an entity is entitled for some tax concessions. And normally what happens is those concessions are passed to the employees (assuming the company is doing well financially) in the form of yearly bonuses, better health insurance, skills training etc. You as an employee is merely a pawn in a larger chess set (no disrespect intended). It not practical nor make sense for every employee to be individually entitled for certain concessions.

[xXx]

I think some of the participants in this thread have very little grasp on the vital role foreign remittance play in our economy. It is our number one source of foreign exchange surpassing tea and apparel exports for the past decade or so. Been a very import oriented economy and having very little to export means we are always short on forex. In agreeing with Don, I too would say it’s important to have such incentives to lure in new forms of revenue and also as a token of appreciation.

Not wanting to get too political but one of the reason why our economy hasn’t improved much two years after the end of the war is due to the lack of direct foreign investment (except the tourism and leisure sector) and the lack of contribution from the diaspora (compared to involvement they had during the ceasefire era).

Trying to compare who deserves a duty free/concession permit will be like comparing apples to oranges. personally I don’t get the thought process of the government behind the issuance of permits to government workers. I find it to be a rather expensive ‘election gundu’. Most popular school of though is these type of perks are offered to offset their below average pay packet. In that case won’t the right thing to do would be to lay off all the excess staff, bump up the pay for the rest and make them answerable to the tax man (assuming government servants are still exempted from income tax).

[Flash_Bang]

My point is you're paying taxes in the foreign country, and you do not have to pay any taxes in SL when you bring your income over.

If you paying tax there why bother to come down here... In your point can you avoid US or any other tax scheme saying that you already paid in Sri Lanka.??? Country to country if you trespassing you have to pay the fee... No matter its your motherland or not. Every Dollar you turn to rupees in here makes the SL resources more eligible to you.. That means average you spend SL worker's monthly salery in a single day for same resource which that worker can't afford. as you earn it in foreign it not fare to act like that in same country. So Governments introduce tax scheme for RFC.

Edited April 28, 2012 by Flash_Bang

[whatever]

If you paying tax there why bother to come down here... In your point can you avoid US or any other tax scheme saying that you already paid in Sri Lanka.??? Country to country if you trespassing you have to pay the fee... No matter its your motherland or not. Every Dollar you turn to rupees in here makes the SL resources more eligible to you.. That means average you spend SL worker's monthly salery in a single day for same resource which that worker can't afford. as you earn it in foreign it not fare to act like that in same country. So Governments introduce tax scheme for RFC.

Not only SL, many other countries do not impose tax on income earned outside the country. Simply there is no basis for such a tax.

If there is such a tax, it means that the government want to discourage bringing foreign earning into the country which is a contradiction.

[Scooter]

Dual Citizenship article in today's Sunday Observer:

http://www.sundayobserver.lk/2012/04/29/fea10.asp