Sri Lanka has promised to “introduce a nationwide real property tax including a review of related fiscal transfers, requesting technical assistance as needed,” IMF program documents said.

Sri Lanka is trying to raise taxes to maintain a large public service and cabinet, under revenue based fiscal consolidation. Under revenue based fiscal consolidation in a previous program, spending to GDP went up from 17 to around 19 percent of GDP

State Minister of Finance Ranjith Siyambalapitiya has clarified that the recent gazette issued by President Ranil Wickremesinghe, mandating the disclosure of movable and immovable property details to the Inland Revenue Department (IRD) from 1 July, does not introduce new laws. Instead, it reinstates an existing, previously inactive law.