7. Amendment of section 25C of the principal enactment

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

Section 25C of the principal enactment is hereby amended as follows :-

(1)

in subsection (1) of that section, by the substitution for all the words from "for avoidance of doubts it is here by declared" to the words "the tax payable under this Chapter" of the following :-

"for the purpose of this Chapter the value addition of such specified institution shall be computed :-

(i)

for any taxable period commencing prior to

January 1, 2011, based on the net profit or loss prior to the deduction of the tax payable under this Chapter; and

(ii)

for any taxable period commencing on or after

Januray 1, 2011, based on the net profit or loss after the deduction of the tax payable under this Chapter.";

Act, No. 9 of 2011

(2)

by the repeal of subsection (3) of that section and the substitution therefor of the following :-

"(3)

The amount of tax payable for any taxable period :-

(a)

commencing from January 1, 2003 but prior to January 1, 2004 shall be ten percentum;

(b)

commencing from January 1, 2004, but prior to January 1, 2005, shall be fifteen percentum;

(c)

commencing from January 1, 2005, but prior to January 1, 2011, shall be twenty percentum; and

(d)

commencing from January 1, 2011 shall be twelve percentum;

of the value addition specified in subsection (i)";

(3)

by the repeal of subsection (8) of that section and the substitution therefor of the following :-

"(8) for the purpose of calculation of tax under this section, every specified institution or any other person shall follow the guidelines specified by the

Commissioner-General having considered the uniform application of the calculation of such tax.";

(4)

by the addition immediately after subsection (8)

of that section, of the following new subsection :-

"(9) eight percentum of the value addition specified in subsection (1) of section 25C shall be invested in the fund established in the Central

Bank of Sri Lanka as specified in the guidelines issued for this purposes with the concurrence of the Commissioner - General for the period of three

Act, No. 9 of 2011

years commencing from January 1, 2011 and the investment shall be made on a monthly basis on or before the twentieth day of the subsequent month.".

Read on from s 8