VAT revision with effect from today
Valued Added Tax (VAT) which previously stood at 11 percent has been increased to 15 percent with affect from today, Finance Minister Ravi Karunanayake said.
Minister Karunanayake said education sector and pharmaceutical drugs have been exempted from the increase. Import or supply of telecommunication equipment or machinery, high tech equipment including copper cables for telecom industry and the issue of license to local telecom operators by Telecommunication Regulatory Commission are Liable for the increased VAT.
The supply of goods or services to any specified project other than housing projects approved on or after May 5th, 2016, will be taxed.
The minister was speaking at a press conference at his ministry yesterday.