Sri Lanka, Sept. 5 -- Revision of date of enforcing VAT for supplying services across electronic platforms by non-resident suppliers

As per the Value Added Tax (Amended) Act No. 4 of 2025, the digital service supply by a non- resident individual is subject to VAT with effect from October 1, 2025. However, the non-residential service providers, mentioning several practical reasons, requested for an additional period to be ready to adjust to the VAT when it is imposed.

Accordingly, the Cabinet of Ministers granted approval to the resolution furnished by the President in his capacity as the Finance, Planning and Economic Development Minister to amend the date of execution of that Act as April 1, 2026 instead of October 1, 2025, and to incl...