Settlement reached over petition filed by Sri Lankan cricketers against IRD

A settlement was reached today before the Court of Appeal regarding the petition filed by national cricketers against a decision made by the Inland Revenue Department to impose withholding tax on them by treating them as employees of Sri Lanka Cricket (SLC), Ada Derana reporter said. 

The writ petition was filed by Charith Asalanka and Dhanajaya De Silva as respective captains of the One Day International and Twenty20 cricket teams and the Test Cricket Team, challenging what they term as an arbitrary and unreasonable classification of national cricketers as employees of SLC by the Inland Revenue Department.

The petition was taken up before a Court of Appeal bench comprising Acting President of the Appeals Court Justice Mohamed Laffar Tahir and Justice Priyantha Fernando.

During today’s hearing, the Inland Revenue Department, the respondent party, submitted settlement proposals, which were agreed upon by the petitioners.

Accordingly, Sri Lanka Cricket agreed to make the necessary payments to cricketers, and it was also agreed that the relevant withholding tax amounts would be remitted to the Inland Revenue Department starting from June.

In the event that the petitioners receive a favorable verdict from court, it was also agreed that the taxes withheld in this manner would be refunded.

Additionally, a settlement was reached between the parties on several other related matters as well.

Attorney Nishan Premathiratne, who appeared on behalf of the petitioners, expressed agreement with the proposed settlement. President’s Counsel Kuvera de Zoysa, appearing for Sri Lanka Cricket also agreed to the settlement proposed by the IRD.

The bench then ordered that if there are any objections to the petition, they must be filed by August 29, and any counter-objections must be filed by September 29.

Accordingly, the next hearing of the petition was scheduled for November 6.