HS codes for removal of exemption & new exemption under new VAT amendment
Department of Customs has published notice (Download Notice) relating to new VAT amendment act No. 25 of 2018 stating HS codes for removal of exemption & new exemption.
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IRD Notice on removal of Debt Repayment Levy (DRL)
DRL has been abolished with effect from January 01, 2020, pending parliamentary approval for amendment to the Finance Act, No. 35 of 2018. Accordingly, financial institutions are not subject to DRL with effect from January 01, 2020. However, DRL payment for the month of December 2019 is required to be paid on or before January…
Withholding Tax from Service fees and Contract Payments
Department of Inland Revenue has published notice on Deduction of Withholding Tax from Service fees and Contract Payments with effect from 01 April 2018.
IRD Notice on Making Appeal to the Tax Appeals Commission
The Tax Appeals Commission (TAC) has requested from Commissioner General of Inland Revenue (CGIR) to make aware the Taxpayers who are aggrieved by the determinations of the CGIR and could not lodge an appeal to the TAC against such determinations within thirty (30) days in terms of section 7(2) of the TAC Act No. 23…
Donations to COVID – 19 Healthcare and Social Security Fund exempted from taxes
Donations to COVID – 19 Healthcare and Social Security Fund that has been established to strengthen the mitigation activities aimed at controlling the spread of COVID-19 virus in the country and related social welfare programme have been exempted from taxes and foreign exchange regulations. Refer this link for more details.
Updated VAT Quick Guide
Department of Inland Revenue has published an updated VAT Quick Guide by including instructions on newly introduced VAT schedules on Export of Goods and Services. VAT Schedule 06 : Article Export VAT Schedule To understand more about the structure of the VAT schedule 06 file, what the individual fields mean and the naming convention required,…
Value Added Tax (Amendment) – Bill
A new amendment to the VAT Act. Download – English Download – Sinhala Summary; This clause amends section 6 of the Value Added Tax Act, No. 14 of 2002 (hereinafter referred to as the “principal enactment”), and the legal effect of that section as amended is to make provisions to determine the value of goods…
Income Tax Guide (Partnerships) – Year of Assessment 2018/2019
Department of Inland Revenue has published Guide to Partnerships Tax Return of Income – Year of Assessment 2018/2019. Download English Guide
IRD Notice on Taxpayer Registrations and Updates
Department of Inland Revenue has published a notice Taxpayer Registrations and Updates on 01.06.2020 No.: PN/TPS/2020-1. Maintaining of completed and updated taxpayer profile is helpful in complying with tax related matters and regulations without undue hassle. Moreover, obtaining the relevant services through e-Services enables you to avoid personally visiting the department on multiple occasions. It is essential…
IRD Notice on VAT Deferment and Temporary VAT registration.
Department of Inland Revenue has amended the public notice (No. PN/VAT/2020-03) issued on 26-03-2020 as follows: VAT Deferment Facility on Imports at the Customs/BOI Validity of the last issued extension letters with regard to Credit Vouchers (CV) due against the VAT deferred at the Customs/BOI under deferment facility, has been extended up to 30th June,…
IRD Notice on requirement of Tax Clearance Certificates for Outward Remittances
Due to the prevailing situation of the country affected by the Covid-19 pandemic, the Inland Revenue Department is not in a position to issue Tax Clearance Certificates to the persons who make outward remittances. All Commercial Banks, Authorized Dealers engaged in outward remittances and the persons who make the outward remittances are hereby informed that the Notice issued…
Tax on Cumulative Income from Employment – January to March 2020 [Updated]
Notice to the Employers and Employees Deduction of Tax on Cumulative Income from Employment for the Period 01.01.2020 – 31.03.2020 As you are already informed by the Inland Revenue Department (IRD) by its notice under the reference No. PN/IT/2020 – 03 (Revised) dated 06.04.2020 published in line with the instructions issued by the Ministry of…
Gazette on Stamp Duty – License on sale of liquor
Minister of Finance and Mass Media has been published a new gazette notification on Stamp Duty – License on sale of liquor. Effective Date: 01.01.2019 Base: License on sale of liquor Download Gazette [English | Sinhala]
No Withholding Tax (WHT) on certain Services
As approved by the Cabinet of Ministers and instructed by the Ministry of Finance on December 31, 2019, pending formal amendment to the Inland Revenue Act No. 24 of 2017, WHT on service fee payable to any Resident Individual {whose payment made by any WHT Agent exceeding Rs. 50,000/- per month and deducted at 5%…