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Tech entrepreneurs warn of brain drain amid new taxes on digital services 

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Dr. Harsha Subasinghe, one of the founders of Colombo’s Trace City – a knowledge-based techno-centric business hub, has expressed serious concerns about the imposition of taxes on individuals providing digital services in Sri Lanka.

Attending a discussion on a private TV channel, he said that such a move could severely damage the country’s digital economy and warned that there is a high risk of professionals in the sector leaving the country.

Dr. Subasinghe emphasized that, as of now, the decisions regarding these matters are being made by those within the Ministry of Finance, but he criticized the Ministry for lacking a clear economic plan.

According to him, there is no visible or concrete economic strategy at present, and he has yet to witness such a plan being presented by the government.

In addition to his role as a prominent tech entrepreneur, Dr. Subasinghe was appointed as a member of the Colombo Port City Economic Commission by President Anura Disanayake on December 13th, 2024.

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