Tax Break

L to R: Samantha Ranatunga, Chairman, HVA Foods PLC; Jan Müggenburg, Chief Executive Officer, Müggenburg Group; Graham Stork, Chief Executive Officer, HVA Foods PLC; Sarva Ameresekere, Group Chairman, George Steuart & Co. Ltd.

Dec 14, 2010 (LBO) - Sri Lanka has approved tax cuts up to 50 percent of car import prices to senior state sector workers after nearly halving tariffs on motor vehicles a few months ago, a finance ministry circular showed.

Until recently ordinary Sri Lankan's were paying vehicles import taxes of over 300 percent, while public servants and representatives were given permits to import vehicles tax free under scheme similar to the one announced by the Treasury.

The proposed tax cuts to be effective from December 15, 2010 are for state sector officials who have served in a senior position for over six years.


Military officers above the ranks of lieutenant colonel, commander and wing commander are entitled to the tax concession.

Professionals attached to the armed forces such as engineers, lawyers, doctors and accountants are also eligible, according to the circular obtained by lbr.


lk, our sister news website.

Senior university academics with 12 years services are also eligible to the permit.


The tax cut is only valid to import brand new vehicles, but vehicles that have been used for less than one year abroad and locally assembled vehicles using brand new parts are also eligible.


Only vehicle

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