Economic Service Charge

Requirement An Economic Service Charge shall be charged from every person and partnership, if aggregate turnover from trade, business, profession or vocation carried on or exercised in Sri Lanka whether directly or through an agent or more than one agent, exceed ten million rupees for that relevant quarter of every year of assessment

Economic Service Charge Rates

Profit or income exempted from income tax
(Including BOI Companies during the tax holiday period)  – Rate 0.25%

Turnover of B. O. I. Co. (sec. 17) on expiration of income tax exempted period & Turnover of any trade, Business, profession or vocation chargeable with income tax at concession Income tax rate other than betting, lottery and gaming businesses – Rate  0.5%

Profit or income liable for normal income tax rates and business of betting, lottery & gaming – Rate 1%

Turnover from business of whole sale and retail other than distributor or dealer in motor vehicles or liquor  – Rate  0.25%

Turnover from trade or business of consignor or consignee from certain exports – Rate   0.1%

Turnover from any trade or business which deals in the whole sale or retail of motor vehicles or liquor not manufactured by the dealer (other than distributor) – Rate 0.5%

Turnover from the Primary conversion of any tea, rubber, or coconut plantation including desiccated coconut and sheet rubber but excluding  such conversion which produces any alcoholic beverage – Rate 0.25%

Turnover from business of a distributor – Rate 0.05%