Sri Lanka: Revised “nation building tax” threshold; no rate change

Sri Lanka: Revised “nation building tax” threshold

Legislation in Sri Lanka continues the “nation building tax” rate of 2%, but retroactively reduces the threshold amount of profit or turnover that is subject to the tax, effective from 1 April 2016.

1000

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The legislation also removes from liability for the nation building tax certain services including telecommunications and electricity supplies and certain petroleum products (e.g., lubricants) and supplies of goods for a specified building project.

 

Read a 2016 report [PDF 137 KB] prepared by the KPMG member firm in Sri Lanka: Indirect Tax Alert

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