Sri Lanka has passed the Value Added Tax (Amendment) Act, No. 16 of 2024, increasing the VAT rate from 15% to 18% retroactively from 1 January 2024. The Act also lowers the VAT registration threshold from LKR 20 million per quarter or LKR 80 million per year to LKR 15 million per quarter or LKR 60 million per year, effective from 1 January 2024. Taxpayers affected by the change must register by 20 March 2024, as per the notice from the Sri Lanka Inland Revenue Department.
Source Orbitax
- Global Upcoming VAT Rate changes – Chronological, click HERE
Latest Posts in "Sri Lanka"
- New Exemption for VAT-Liable Financial Services in 2025 Social Security Contribution Levy Amendment
- Sri Lanka Unveils Three-Phase Electronic Invoicing Reform to Modernise VAT and Boost Digital Economy
- Sri Lanka Sets Dec. 31 Deadline for November 2025 VAT Returns, Announces Penalties and Credit Rules
- Sri Lanka Introduces Risk-Based VAT Refund Scheme for Exporters and Strategic Suppliers Effective October 2024
- Sri Lanka Delays New VAT Invoice Format Implementation to April 2026
