Inland Revenue Act 2006 · As enacted · Chapter XI · Special Cases a – Children
90. Profits of non-resident owners or charterers of aircraft
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
Where a non-resident person carries on the business as owner or charterer of aircraft, and any aircraft owned or chartered by him calls at any customs aerodrome in
Sri Lanka, his full profits arising from the carriage of passengers, mails, livestock, or goods loaded-into that aircraft in Sri Lanka, shall be deemed to arise in Sri Lanka:
Provided that this section shall not apply to goods, which are brought to Sri Lanka solely for transfer from one aircraft to another or from an aircraft to a vessel or from a vessel to an aircraft.
Where for any accounting period any non-resident person carrying on business as owner or charterer of an aircraft produces the certificate referred to in subsection (3), the profits arising in Sri Lanka from his business of carriage of passengers, mails, livestock or goods by aircraft for such period, before deducting any allowance for depreciation, shall be a sum bearing the same ratio to the sums receivable in respect of the carriage of passengers, mails, livestock and goods loaded into an aircraft in Sri Lanka, as the ratio for that period shown by that certificate of that total profits to the total sums receivable by him in respect of the carriage of passengers, mails, livestock and goods:
Provided that where such profits have been computed on a basis which differs materially from that specified in the preceding provisions of this Act, the ratio of profits shall be adjusted so as to correspond, as nearly as may be, to the ratio which would have been arrived at if the profits had been computed in accordance with such provisions.
The certificate shall be one issued by or on behalf of any income tax authority which assesses the full profits of the non-resident person from his business as owner or charterer of an aircraft, and shall certify for any accounting period as regards such business—
the ratio of the profits, or where there are no profits, of the loss as computed for the purposes of income tax by that authority, without making any allowance by way of depreciation, to the total sums receivable in respect of the carriage of passengers, mails, livestock, or goods ; and
the ratio of the allowance for depreciation as computed by that authority, to the total sums receivable in respect of the carriage of passengers, mails, livestock and goods.
Where at the time of assessment the provisions of subsection (2) cannot for any reason be satisfactorily applied, the profits arising in Sri Lanka may be computed on a fair percentage of the full sum receivable on account of the carriage of passengers, mails, livestock and goods, loaded into an aircraft in Sri Lanka:
Provided that where any person has been assessed for any year of assessment by reference to such percentage, he shall be entitled to claim at any time within three years of the end of such year of assessment, that his liability to income tax for that year be recomputed on the basis provided by subsection (2).
Chapter XII
Chapter XIII
Payment of Tax by Self-Assessment
Chapter XIV
Deduction of Income Tax from Remuneration of Employees by Employers
Chapter XV
Provisions Relating to the Payment of Income Tax by a Government Institution
Chapter XVI
Deductions from Interest Paid by Banks and Financial Institutions
Chapter XVII
Deduction of Income Tax from Specified Fees Paid by Specified Persons
Chapter XVIII
Chapter XIX
Chapter XX
Deduction of Income Tax from Any Annuity or Royalty Paid or Any Management Fee Paid or Similar Payment Made by Any Person or Partnership
Chapter XXI
Retention of Moneys in Certain Provident Funds
Chapter XXII
Assessments
Chapter XXIII
Appeals A-Appeals to the Commissioner-General
Chapter XXIV
Finality of Assessments and Penalty for Incorrect Returns
Chapter XXV
Tax in Default and Sums Added Thereto
Chapter XXVI
Recovery of Tax
Chapter XXVII
Miscellaneous
Chapter XXVIII
Repayment
Chapter XXIX
Penalties and Offences
Chapter XXX
Administration
Chapter XXXI
General
Chapter XXXII
Interpretation
Chapter XXXIII