Sri Lanka Cabinet Defers Digital Service Tax to April 2026

Sept. 4, 2025, 6:40 AM UTC

Sri Lanka has deferred the start of a value-added tax on non-resident digital services to April 2026, from the original Oct. 1, cabinet spokesman Nalinda Jayatissa said.

  • The deferment was made to iron out practical difficulties, Jayatissa told reporters Thursday in Colombo
  • Service providers too had sought more time and the matter was discussed with the International Monetary Fund, he said
    • Cabinet also approved liquidating 33 inactive state enterprises
    • Sri Lanka to call expressions of interest to set up a customs verification center as a public private partnership near Colombo port

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