Due to illegal mobile phones being brought into Sri Lanka, the main companies that regularly import mobile phones were in a serious crisis. Due to this, the government of the country is also losing a lot of tax revenue, those institutions have pointed out.
It has been announced that a program will be prepared to register the mobile phones brought into the country illegally, but it is reported that the government has lost a lot of revenue due to the fact that it has not been implemented so far.
With the increase of the VAT to 18%, the companies that legally bring mobile phones and accessories to Sri Lanka will continue to be helpless and as a result, the government’s tax revenue will also decrease, the companies have indicated to the government authorities.
They have also shown that legitimate mobile phone companies pay the government 52 million dollars in taxes per year, while illegal phone carriers lose more than 96 million dollars in tax revenue.
It has further been pointed out that mobile phones are being brought illegally by air and sea and due to the lack of proper regulation, they have become a form of smuggling.