It is emphasized that urgent measures should be taken to regulate the business done through the Internet.
It was also suggested that a legal framework to regulate these businesses as well as a digital service tax should be introduced.
It has been recently discussed in the committee to increase the value of Sri Lanka’s ease of doing business index.
It was revealed that some foreign companies doing business online are taking large amounts of money to bank accounts abroad without paying taxes.
Accordingly, the need to create a co-business environment for local companies and international companies engaged in business activities centered on the Internet was emphasized here.
The Gig Economy is growing rapidly along with the current technological development.
The need to encourage business activities conducted through the Internet was also pointed out here.
It was also discussed that it is necessary to create an environment to attract more companies involved in online business to the country.
According to the declaration of the two-pillar solution to solve the tax challenges arising from economic digitization (G20 /OECD), it was revealed that out of the 140 member countries, Sri Lanka, Pakistan, Kenya and Nigeria are the only four countries that have not signed the Global Corporate Tax Agreement.
At the same time, the committee chairman also pointed out the need to promote digital transactions instead of currency notes and coins.
The Chairman advised the committee to submit a report on the plan prepared by the Central Bank to promote digital transactions, which cost 3.2 billion annually for printing and issuing currency notes.
There was also a wide discussion about an economy known as the gig economy, where a group of freelancers who work freely in the labor market are engaged in various economic activities, apart from the traditional labor services that exist between the employer and the client.
These matters were discussed when the Parliamentary Special Committee met recently to study the practical problems and difficulties that have arisen in relation to increasing the value of the Ease of Doing Business Index in Sri Lanka and to present its proposals and recommendations.
Heads of commercial-level banks, representatives of local and foreign companies doing business on the Internet, representatives of credit card companies, Central Bank representatives and others participated in this committee meeting.
