Concerns over Chartered accountancy firms encouraging tax avoidance

By Yohan Perera   

Some 27 chartered accountancy firms have been found advising their clients to avoid paying income taxes, a senior Presidential Advisor said yesterday.   

Senior Presidential Advisor Ashu Marasinghe told a briefing that some 27 chartered accountancy firms have been advising their clients to avoid paying income taxes by hiding their revenues. 

“An investigation carried out by Parliament committee had revealed that these firms have been encouraging their clients to avoid paying taxes,” he said.     “It is necessary to expose details of these companies. Even the media carry a duty to reveal these details,” Marasinghe said.   

He indicated that some officers attached to Customs and Department of Inland Revenue have been working after their retirement have joined these chartered accounting companies. It is therefore clear that state officials are also corrupt,” he said.