13 December 2016 Sri Lanka announces 2017 budget Sri Lanka's Government released the 2017 budget (the Budget) on November 10. The Budget includes: (i) implementation of three-tier corporate income tax rates; (ii) removal of exemptions on income from listed securities; (iii) introduction of investment incentives; (iv) revision of depreciation rates; (v) interest income taxable at normal corporate income tax rate; (vi) introduction of a 5% withholding tax on specified fees; (vii) reintroduction of capital gains tax on immovable properties; (viii) changes to the economic service charge (ESC) scheme; and (ix) shorter statute of limitations periods. Unless stated otherwise, the proposals will be effective from April 1, 2017. A Tax Alert prepared by EY's Global Tax Desk Network, and attached below, provides additional details. Document ID: 2016-2122 |
