Sri Lanka is facing a deepening revenue crisis as new disclosures reveal that over Rs. 1 trillion in unpaid taxes remain uncollected from thousands of wealthy individuals and corporate entities.Former Minister Patali Champika Ranawaka says 4,570 taxpayers owe more than Rs. 100 million, while 90 ultra-rich defaulters owe over Rs. 1 billion each yet none have been prosecuted under the current administration. He alleges that while the government pursues minor cases involving spectacles or newspaper ads, major tax evaders and loan defaulters including those who owe Rs. 700 billion to state banks — remain untouched. The Inland Revenue Department has launched criminal probes and initiated asset seizures this year, but analysts say enforcement still overwhelmingly targets small and medium taxpayers. As ordinary citizens face higher taxes and rising living costs, critics warn that continued protection of billionaire tax evaders threatens Sri Lanka’s fiscal stability.
