Sri Lanka: Income tax changes in (Amendment) Bill 2022

Key changes in corporate and individual (personal) income tax

Key changes in corporate and individual (personal) income tax

The Inland Revenue (Amendment) Act No 45 of 2022 was certified by the Speaker on 19 December 2022.

Key changes in the corporate income tax concern:

  • Standard income tax rate
  • Concessionary tax rates
  • Capital gain tax
  • Limitation of tax concession available to agri business
  • Source of payment
  • Deduction rules
  • Introduction of exemptions
  • Withdrawal of exemptions
  • Administrative provisions

Key changes in the individual (personal) income tax concern:

  • Tax rates and tax slabs
  • Concessionary tax rates applicable to Individuals
  • Capital gains tax rate
  • Tax on terminal benefits
  • Qualifying payments and reliefs
  • Advance income tax
  • Withholding tax
  • Exclusions
  • Tax accounts
  • Administrative provisions

Read a December 2022 report [PDF 614 KB] prepared by the KPMG member firm in Sri Lanka


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