Posts which claimed that a new pay-as-you-earn (PAYE) tax scheme has been introduced were circulating on social media. As per those, those who earn a monthly salary of more than LKR 100,000 have to pay PAYE tax, in increasing degrees, depending on the salary scale. However, tax concessions came into force in January 2020 which increased the PAYE tax threshold from LKR 100,000 to LKR 250,000 has not been changed thereafter. Read the press release on the above mentioned tax concessions here (Sinhala): https://tinyurl.com/8v7j7asu. This rumour must have started as the Trade Minister Bandula Gunawardena recently proposed a tax of 5% on those who earn more than LKR 100,000 a month for the ‘Community Preservation and Contribution Fund’ to develop education and health services. The government later denied this: https://tinyurl.com/rh8uscva.