As enacted

Contents

15. Amendment of section 34 of the principal enactment

Official English translation. The Sinhala text prevails. Open the official Sinhala text, official PDF on documents.gov.lk

Section 34 of the principal enactment as last amended by Act, No. 22 of 2011 is hereby further amended as follows :-

(1)

in subsection (2) of that section –

(a)

by the substitution in paragraph (p) of that subsection for the words and figures

“subsection (2) of section 21A; and” of the words and figures “subsection (2) of section 21A;”;

(b)

by the substitution in paragraph (q) of that subsection for the words and figures

“paragraph (zzz) of section 13”, of the words and figures “paragraph (zzz) of section 13;”;

(c)

by the addition immediately after paragraph (q) of that subsection of the following new paragraphs :-

“(r)

expenditure incurred by any person in any community development project carried on in any economically marginalised village as identified and published in the Gazette by the

Commissioner-General;

(s)

investment of not less than fifty million rupees in fixed assets made by any person on or after April 1, 2011 but before April 1, 2015 in the expansion of any undertaking which would have been qualified for exemption under section 16C or section 17A had such undertaking commenced to carry on business on or after April 1, 2011; and

(t)

investment of not less than any sum referred to in Column II of the Schedule to section 16D of this Act made in fixed assets in any undertaking engaged in the manufacture of any product referred to in Column I of that Schedule, being an investment which would have qualified such undertaking for exemption under section 16D, referred to above had such undertaking commenced to carry on business on or after April 1, 2012;”;

(2)

in subsection (4) of that section —

(a)

by the substitution in sub-paragraph (i) of paragraph (a) of that subsection for the words and figures “(n), (o) and (q) of subsection (2)”

of the words and figures “(n), (o), (q), (r), (s)

and (t) of subsection (2)”;

(b)

by the addition immediately after sub-paragraph (viii) of paragraph (a) of that subsection of the following new sub-paragraphs :-

“(ix)

in respect of all qualifying payments referred to in paragraph (r) of subsection (2) made by him in that year of assessment shall not exceed one million rupees;

(x)

in respect of all qualifying payments—

(A)

referred to in paragraph (s) of subsection (2) made by him in that year of assessment shall not exceed twenty five per centum of such qualifying payment:

Provided however, where investments made in more than one year of assessment are aggregated to reach the minimum investment to qualify for deduction as qualifying payment, such investment made in any previous year of assessment (being any year of assessment commencing on or after April 1, 2011) shall be deemed to be an investment made in the year of assessment in which the fifty million rupees aggregate is reached;

(B)

referred to in paragraph (t) of subsection (2) made by him in that year of assessment shall not exceed twenty five per centum of such qualifying payment:

Provided however, where investments made in more than one year of assessment are aggregated to reach the minimum investment to qualify for deduction as qualifying payment, such investment made in any previous year of assessment (being any year of assessment commencing on or after April 1, 2012) shall be deemed to be an investment made in the year of assessment in which the respective minimum investment referred to in section 59C is reached;

(c)

by the substitution in sub-paragraph (i) of paragraph (b) of that subsection for the words and figures “(n), (o) and (q) of subsection (2)”, of the words figures “(n), (o), (q), (r), (s) and (t)

of subsection (2);

(d)

by the substitution in sub-paragraph (vii) of paragraph (b) of that subsection for the words

“ten million rupees.”, of the words “ten million rupees;”;

(e)

by the addition immediately after sub-paragraph (vii) of paragraph (b) of that sub section of the following new sub-paragraphs:-

“(viii)

in respect of all qualifying payments referred to in paragraph (r) of subsection (2) made by that company in that year of assessment shall not exceed ten million rupees;

(ix)

in respect of all qualifying payments—

(A)

referred to in paragraph (s) of subsection (2) made by that company in that year of assessment shall not exceed twenty five per centum of such qualifying payment:

(B)

referred to in paragraph (t) of subsection (2) made by him in that year of assessment shall not exceed twenty five per centum of such qualifying payment:

Provided however, where investments made in more than one year of assessment are aggregated to reach the minimum investment to qualify for deduction as qualifying payment, such investment made in any previous year of assessment (being any year of assessment commencing on or after April 1, 2012) shall be deemed to be an investment made in the year of assessment inwhich the respective minimum investment referred to in section 59C is reached;

‘(3)

by the insertion immediately after subsection (7) of that section, of the following new subsection:—

“(7A) The seventy five per centum of any qualifying payment referred to in sub-paragraph (x) of paragraph (a) or sub-paragraph (ix) paragraph (b) of subsection 4, may be apportioned in equal amounts over a period of three years of assessment immediately succeeding that year of assessment and such apportioned amount shall be deuctible from the assessable income of that person in each such year of assessment.”.

Read on from s 16