The Sunday Times on the Web Letters to the Editor

7th June 1998

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Putting up with GST

Judging by the many letters appearing in the correspondence columns of newspapers there seems to be a lot of misunderstanding and even confusion in the minds of the public with regard to the new Goods and Services Tax introduced as from April, 1998. This tax as has been repeatedly stressed by the government and the tax department, is not a new tax but a substitution for the old Business Turnover Tax (BTT) that was in operation since the 1960s. It is an attempt to attune our tax system with a mode of taxation adopted by most other countries with whom we have dealings. In fact GST is a widely adopted form of taxation the world over in preference to the former BTT.

There are many advantages in the GST; the principal advantage being the avoidance of what is called the 'cascading effect' of taxation inherent in the former BTT. That is in other words the BTT collected at several points before an article finally reached the consumer thereby adding to the consumer's price unnecessarily. With GST the prices of many articles should come down internally and help

our exports to be more competitive in the international markets. It would not affect the cost of living in anyway since most of the essential items of food, medicine etc are exempt from the tax. Even in the case of goods liable for GST, price increases should be marginal since the producers and dealers are entitled to tax rebates by way of input credits. The ordinary man and the business community may not grasp these finer points of the new tax immediately and hence the tendency to mark up the prices by 12.5% GST rate. Incidentally GST cannot be included into the price of an article; it has to be shown separately in the bill.

It is but natural that various teething problems should arise in any new tax system being introduced for the first time. Most of these would get resolved themselves in course of time when people get more accustomed to the tax and learn through experience its advantages, how it operates and its implications. Seminars and other programmes aimed at educating the public and the business community on various aspects of the GST would be of limited success. Experience is the best tutor in an exercise of this nature. So let all of us bear with the GST a little without crying foul. Things would definitely turn out better with it in the long run.

Henry Gallage

Matara.


No more nukes

    The havoc that caused on Japanese land,
    by nuclear bomb, was extremely sad
    thousands and thousands died in vain,
    millions of others were writhin' in pain.

    Homo sapiens in lakhs and lakhs,
    did melt in heat, like candles of wax,
    flora and fauna wither'd in toto,
    'No more nukes' then became the motto.

    India did go ahead with nuclear test,
    Pakistan too follow'd with tit-for-tat,
    we're livin' in a decisive phase.
    'cos neighbours engaged in a nuclear race.

    The wrath of all, did India earn
    and China did express grave concern
    we didn't want to protest in haste
    for that would place our future at stake.

    Against this backdrop, meets the SAARC
    that has been treadin' a tortuous path
    with mountin' tension in the regional scene
    the future of the SAARC, remains to be seen.

S.G. Ratnayake


So much for courtesy and humanity!

I am a foreign national working in a BOI factory in this country. Sri Lanka is a beautitul country. Unfortunately the people and mostly the politicians are rather ignorant of how to preserve that beauty for the future. When we say that yours is a beautitul country, we mean the natural beauty and the innocence of the people. Sad to say, that with the so called "development" of your country, the people are losing this innocence. In many offices in Colombo you find that politeness is almost unknown. The Government Banks seem, to be the worst. They treat customers as a nuisance!

To highlight the extent to which people have lost their "humanity", I shall relate a recent experience .

One of my factory employees was involved in a road accident. As he was warded in the Colombo National Hospital, I decided to visit him there. I was accompanied by another local employee. During "visiting hours" we made our way towards Ward 57. At the end of a corridor we were stopped by a stern faced woman. My companion spoke to her in Sinhalese. The conversation went something like this:

Woman: Pass?

We: What pass?

Woman: You can't go without a pass.

We: We are going to visit a patient.

Woman: You must have a pass.

We: Where do you get a pass?

Woman: From the Ward.

We: But we need to go to the Ward first.

Woman: You can't go without a pass.

We: So can't we visit the patient?

Woman: Weren't you given a pass when the patient was admitted'?

We: No. We did not admit the patient.

Woman: You can't go without a pass.

So much for courtesy, humanity and sanity!

In the "Decadent West" it is customary to visit a sick or injured friend in hospital. The hospital staff too would have some empathy towards visitors knowing that these people have not come on a picnic.

ls this progress? I think not. I think that your country is going full steam - in reverse gear.

Peter Firth

Battaramulla.


The Westminster Model?

    The Debate telecast on the UL deal
    Did not project any light,
    But heat and sound seemed to rule the roost
    With red herrings much in sight,
    The 17 year dead horse was flogged
    Instead of answers - were ears clogged?

    Pandemonium prevailed for quite some time
    And several names and epithets flung
    Calls for order went unheard
    Parliament it seems was 'hung'
    Proceeding merrily at this rate
    Very soon we'll outgate Bilingsgate

R.A.F.


OUSL students and hostel facilities....

The Open University of Sri Lanka (OUSL) authorities decided to close down the hostels temporarily as a step to prevent the OUSL premises from being used for student agitation, strikes etc. resorted to by the students concerned in pursuance of their demands. In spite of the fact that such strikes are now over there seems to be no signs of reopening these hostels.

It is an accepted fact that the university students are naturally sensitive to the pressing problems in the country and their reaction appears to be radical on various occasions. It is also obvious that there are instances when some students go to extremes in pursuance of their demands. But our responsible authorities should not tar all of them with the same brush.

As far as hostel facilities are concerned, it is the students who come from very distant areas who are mainly inconvenienced due to the unavailability of accommodation. The provision of hostel facilities for them is a must.

On the other hand the law students and those who are attached to the Faculties of Engineering Technology and Natural sciences are compelled to study with the peer groups as recommended by the OUSL. It need be hardly said that they find it difficult to attend such discussions etc by travelling from far away places, let alone the students who are in close proximity to OUSL.

I feel that our Educationists should make allowances to some extent, but not at all times, when it comes to finding solutions to their problems. In this regard, I kindly request the OUSL authorities to expedite the reopening of the hostels on behalf of the students, as promised in the recent past.

R. Somasiri

Pannipitiya.


More Letters to the Editor * Why discourage the savings habit? * Changes: better or worse? * Don't be indifferent to atmospheric pollution * How people waste our natural resources * They're a menace to all

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