Cabinet Choices
Sri Lanka Announces Key Policy Changes and Infrastructure Projects Sri Lanka has recently made several significant announcements regarding policy revisions, infrastructure development, and public service improvements. These decisions were approved by the Cabinet of Ministers following detailed discussions and recommendations from various government departments and officials. Revised Implementation Date for VAT on Digital Services The Value Added Tax (Amended) Act No. 4 of 2025 was initially set to impose VAT on digital services provided by non-resident individuals from October 1, 2025. However, due to practical challenges faced by these service providers, a request was made for an extension. In response, the Cabinet of Ministers approved an amendment to push the effective date to April 1, 2026. This change allows more time for non-resident suppliers to adjust to the new regulations, ensuring smoother implementation of the revised provisions within the VAT Act. Establishment of Cust...