Sri Lanka, July 7 -- A gazette notification has been issued announcing the list of digital services on which an 18 percent Value Added Tax (VAT) will be imposed with effect from October 01, 2025.

The new tax measure will be implemented under the Value Added Tax (Amendment) Act No. 04 of 2025.

According to the Commissioner General of the Inland Revenue Department (IRD) Ms. Rukdevi Perpetua Himali Fernando, guidelines outlining how the new VAT on digital services will be applied were officially published through Extraordinary Gazette No. 2443/30 on July 1, 2025.

The following areas will fall into this category of digital services treated as taxable supply, but not limited to:

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