Inland Revenue (Amendment) Act 2012 · As enacted
13. Amendment of section 26 of the principal enactment
Official English translation. The Sinhala text prevails.
Official translationFrom Department of Government Printing, unchanged
Section 26 of the principal enactment as last amended by Act, No. 22 of 2011 is hereby further amended in subsection (1) of that section as follows :-
by the substitution in sub-paragraph (ii) of paragraph (c) of that subsection, for all the words commencing from “in foreign currency:” to
“business for that year of assessment;” of the following :-
“in foreign currency; or
services relating to design development, product development or product innovation by such person being a company engaged exclusively in the provision of such services:”
Provided that for any year of assessment commencing on or after April 1, 2011—
(A)
such part of expenditure incurred in travelling outside Sri Lanka in the production of profits or income from any trade or business carried on or exercised in Sri
Lanka by any person, after deducting therefrom–
such expenses incurred in travelling outside Sri Lanka solely in connection with the promotion of export trade of any article or goods or the provision of any service for payment in foreign currency; or
such expenditure incurred in travelling outside Sri Lanka in carrying out an approved programme as referred to in paragraph (d); or
for any year of assessment commencing on or after
April 1,
2012, such expenditure incurred in travelling outside Sri Lanka, by any company engaged exclusively in the provision of services relating to design development, product development or product innovation;
(B)
an amount equal to two per centum of the profits and income of such trade or business in the immediately preceding year of assessment, whichever is lower, shall be deductible in ascertaining the profits and income from such trade or business for that year of assessment;”;
by the substitution in the proviso to paragraph (x), for the words and figures “Companies Act, No. 17
of 1982;”, of the words and figures “Companies
Act, No. 7 of 2007;”.