2. Amendment of section 3 of Act…

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

Section 3 of the Nation Building Tax Act, No. 9 of 2009 as last amended by Act, No. 11 of 2013 (hereinafter referred to as the “principal enactment”) is hereby further amended in subsection (2) of that section as follows :—

(1)

by the substitution in paragraph (iii) thereof, for the words, “other than any excepted service referred to in the First Schedule to this Act,” of the following words and figures:—

“other than any excepted service referred to in the

First Schedule to this Act:

Provided that, the liable turnover from the supply of any financial service in Sri Lanka, by any person carrying on the business of banking or finance shall, notwithstanding anything contrary in any other provision of this Act, be the value addition attributable to such financial service, calculated for the purposes of applying the attributable method referred to in subsection (4) of section 25C of the Value Added Tax Act, No. 14 of 2002, for the payment of Value Added Tax on the supply of finanical services :

Provided further, that in calculating the value addition attributable to such financial service, where

Nation Building Tax (Amendment)

the amount of profits for each relevant quarter cannot be accurately ascertained, such amount may be estimated on the basis of available information. The estimated amount shall be adjusted to reflect the actual amount with the audited statement of accounts on yearly basis and such adjustment shall be submitted within six months after the closing date of the relevant accounting period.”;

(2)

in paragraph (iv) –

(i)

by the substitution for subparagraph (2) thereof of the following subparagraph:—

“(2) (a)

sugar, dhal, potatoes, onions, dried fish, milk powder or chilies under the provisions of the Special Commodity

Levy Act, No. 48 of 2007, where such article is sold on or before December 31, 2013, by the importer of such article; or

(b)

any article which is subject to the

Special Commodity Levy under the provisions of the Special Commodity

Levy Act, No. 48 of 2007, where such article is sold on or after January 1,

2014, by the importer of such article without any processing except for adaption for sale;”;

(ii)

by the substitution in subparagraph (7) thereof for the words “producer thereof; and” of the words “producer thereof;”;

(iii)

by the substitution in subparagraph (8) thereof for the words “in a filling station.” of the words

“in a filling station;”;

(iv)

by the addition immediately after subparagraph (8) of that paragraph, of the following subparagraphs:—

“(9)

retail sale of any article at duty free shops for payment in foreign currency;

and

(10)

distribution of LP Gas.”.

Read on from s 3