– The Government aims to reduce Value Added Tax (VAT) rates within the next two to three years as part of efforts to ease the tax burden on the public, President Anura Kumara Dissanayake said today.Addressing a ceremony at Temple Trees to present appointment letters to 1,540 newly recruited Grama Niladharis, the President said the Government was working to provide greater relief to the public while managing increasing state expenditure.He also stressed the need to remove taxes imposed on essential educational materials, particularly books, saying children should not have to bear a tax burden when purchasing books for educational purposes.

The President said the Government would have to carefully manage expenditure while implementing salary increases for public sector employees.He noted that the decision to increase basic salaries of public sector employees in three phases would result in an additional expenditure of Rs. 330 billion by 2027.

He said these financial commitments would have to be considered when preparing the next national Budget, which is scheduled to be presented on November 12.