Every rupee paid in taxes carries the silent hopes of everyday people, a mother who dreams of a better hospital for her child, a young entrepreneur investing in a brighter future, or a farmer who wants better roads to sell his harvest. They aren’t just taxpayers, they are contributors to the heartbeat of the nation.
While taxpayers fulfil their responsibility with quiet determination, they look for more than just receipts in return. They seek a system that is transparent, fair, and human, one that recognises their efforts and makes their voice count. True progress occurs when the tax system embodies not only policies but also the people it serves, respecting the hardworking individuals who build the nation, one honest payment at a time.
A vital social contract
Decades ago, tax collection in many countries was often driven by coercion and fear, creating a tense and adversarial relationship between taxpayers and tax authorities. However, a significant transformation has taken place, including in our country, where tax officials now embrace a taxpayer-centred, respectful approach that fosters trust and fairness.
Today, taxes are recognised not merely as payments but as a vital social contract as well, an investment in the community and a shared sacrifice for the greater good. While paying taxes can evoke a range of complex emotions from fear and frustration to pride and satisfaction, these feelings are deeply shaped by individuals’ knowledge, experiences, and the way tax authorities engage with them, highlighting the importance of empathy and understanding in building a positive tax culture.
Tax officers who genuinely understand the emotional complexities taxpayers face play a crucial role in ensuring fairness and justice, especially for those seeking relief or answers. By communicating clearly and offering empathetic support, they help maintain taxpayers’ trust and engagement, fostering a more cooperative and inclusive tax environment.
Taxpayers are not simply looking for constant reminders to fulfil their obligations; they want their sacrifices and financial contributions to the nation’s economy to be acknowledged as meaningful acts of social responsibility.
When taxpayers voice their concerns, whether over the phone or in person, they expect respectful, attentive listening and prompt, effective responses. Currently, officers from the Secretariat Unit and the Call Centre of the Inland Revenue Department (IRD) are setting a strong example by delivering excellent guidance and raising public awareness, thereby enhancing the overall taxpayer experience.
Targeted efforts
Taxpayers come with diverse issues and varying levels of tax contribution and compliance, and what they seek is not equal treatment but fairness that recognises their individual circumstances. Every concern, whether large or small, holds personal significance and deserves to be acknowledged accordingly.
To ensure such fairness, the IRD has implemented transparent, systematic approaches such as risk-based auditing, which selects tax files for review based on taxpayers’ behavioural patterns of tax compliance. Additionally, specialised units have been created to monitor high-income earners and to collect and investigate financial transaction data across different taxpayer groups.
These targeted efforts are designed to enhance transparency and accountability, ultimately fostering greater public trust in the integrity and fairness of tax administration.
Enhancing public awareness
Although taxes may not inspire the public like music or art, and topics such as accounting and tax law often seem dry or complex, it is still essential for every taxpayer to have at least a basic understanding of how the tax system works. Without this knowledge, individuals risk making costly mistakes or facing unnecessary challenges simply due to a lack of awareness.
A solid grasp of tax fundamentals empowers taxpayers to make informed decisions, fulfil their obligations confidently, and avoid potential legal or financial setbacks. Recognising this, the IRD has introduced a range of initiatives to enhance public awareness of tax laws and regulations.
The Taxpayer Consultation Unit regularly organises educational programmes on recent legal changes and offers tailored tax awareness sessions upon request from business associations and community groups.
Furthermore, the IRD actively shares accessible and informative content through its Facebook page and YouTube channel, using audiovisual media to communicate tax news and updates.
The department also contributes expertise at seminars and lectures, reinforcing its commitment to helping the public stay informed and confident about their tax obligations.
Taxpayer-centred service
Simplifying the tax process is a key expectation of taxpayers, as clearer laws, procedures, and forms can greatly improve engagement and compliance.
In response, the IRD has introduced a ‘Simplified Income Tax Return’ for individual taxpayers, designed to save time and reduce the need for costly accountant services. This streamlined form enables the general public – especially small business owners and the self-employed – to file their returns easily with minimal information.
Additionally, the implementation of the e-filing system allows taxpayers to manage their accounts and submit returns online, reflecting the modernisation of the tax system in alignment with Sri Lanka’s broader vision for digital governance.
The IRD actively promotes tax awareness by sharing short messages and informative content on social media platforms, thoughtfully producing materials in all three national languages to reach a wider audience. This inclusive approach demonstrates the department’s commitment to directly engaging with the public and making tax information accessible to everyone.
Such efforts clearly reflect a significant shift, showing that the IRD is no longer just a revenue-collecting agency but also a taxpayer-centred organisation dedicated to supporting and safeguarding the welfare of the people it serves.
Upholding taxpayer rights
It is essential for taxpayers to have accessible and trusted channels to voice their complaints, suggestions, and grievances.
The IRD recognises this need by allowing taxpayers the freedom to meet directly with senior officials or the Commissioner General when faced with injustice, as well as to submit concerns in writing via mail or email. The complaint and suggestion box at the department’s head office further facilitates this communication.
To ensure that these issues are properly addressed, the IRD recently established the Internal Affairs Unit, dedicated to investigating and taking appropriate action on taxpayer concerns. This commitment underscores the department’s dedication to fairness and accountability in its dealings with the public.
Providing efficient, taxpayer-friendly services is a fundamental responsibility of the IRD, and taxpayers rightly expect high standards in this regard. The new Tax Service Centre, conveniently located on the ground floor of the Head Office, offers a one-stop solution for obtaining Taxpayer Identification Number (TIN) certificates, Personal Identification Numbers (PIN), and Document Identification Numbers (DIN), as well as access to other tax advisory services.
These improvements are part of a broader effort to simplify processes and provide timely assistance, ensuring taxpayers can meet their obligations with ease and confidence. Together, these steps demonstrate the IRD’s ongoing commitment to upholding taxpayers’ rights and fostering a collaborative environment built on trust and respect.
Working together
Ultimately, a thriving tax culture depends on the active participation of all stakeholders.
Taxpayers must fulfil their duties by accurately filing returns and paying taxes on time according to the law, while tax consultants and accountants play a vital role in guiding their clients responsibly. Meanwhile, tax officials must continue to deliver excellent service and act with integrity to earn and maintain public trust.
When all parties work together in this spirit of cooperation and fairness, the tax system becomes a strong foundation for national economic growth. The IRD remains committed to meeting taxpayers’ expectations and building a better tomorrow for the country.
(The writer is a Deputy Commissioner General of the Inland Revenue Department)