Sri Lanka: Amended tax incentives and exemptions (Colombo Port City)
Effective January 20, 2026
Legislation to amend the Colombo Port City Economic Commission Act, No. 11 of 2021 was published on January 23, 2026.
Highlights of the amendment include:
- Tax on employment income
- Key changes to business of strategic importance (BSI) framework
- Mandatory tax filings for BSI
- Ex-post monitoring of BSI
- Offshore banking regulation
- No fees charged
The Colombo Port City Economic Commission (Amendment) Act No. 1 of 2026 came into effect on January 20, 2026.
Read a January 2026 report prepared by the KPMG member firm in Sri Lanka