Tax exemption for foreign earnings
View(s):Sri Lanka, in a desperate move to boost foreign exchange inflows, is exempting from income tax foreign earnings remitted to the country, the Finance Ministry said.
This tax exemption will be granted to foreign earnings remitted to Sri Lanka through banks, on or after November 15, 2018.
The new Inland Revenue Act which has no provisions to grant comprehensive tax exemption for foreign exchange earnings will have to be amended for this purpose, a senior official of the Inland Revenue Department (IRD) told the Business Times.
He noted that the Finance Ministry has not stipulated the time period of the tax exemption although it has mentioned the date of commencement.
Normally there is no tax exemption provided for an indefinite period.