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Sri Lanka Proposes VAT on E-Services for Non-Resident Providers

  • Sri Lanka proposing to apply VAT on e-services for non-resident providers
  • Inland Revenue Department in Sri Lanka wants to introduce VAT on electronic services by foreign companies
  • Currently, foreign businesses do not have to charge VAT on sales in Sri Lanka
  • Sri Lankan government wants to remove unfair advantage for non-resident companies
  • Proposed VAT rate is 18%
  • VAT will apply to streaming games, music, apps, films, e-books, e-journals, and internet services.


Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.


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