Sri Lanka Plans Digital Services Tax Ahead of IMF Board Meet

Sri Lanka plans to introduce a value-added tax for digital services and hike the tax rate for financial services, according to proposed amendments to the island nation’s VAT law.

• Tax on digital services will take effect from July 1 after the amendment is approved by parliament
  • Tax on financial services will increase to 20.5% from the current 18%, according to the bill
• NOTE: Sri Lanka to Impose VAT on Digital Services, Tax Housing
• Separately, local authorities raised fuel prices over the weekend, while the Ceylon Electricity Board has requested the regulator for a tariff hike to cover rising fuel costs ...