Changes to VAT and NBT laws are implemented with effect from November 01,2016 (unless a specific date is mentioned) as per the Value Added Tax (Amendment) Act No 20 of 2016 and Nation Building Tax (Amendment) Act No 22 of 2016.
Accordingly, any person or partnership whose value of supply/turnover reaches/exceeds the limits stated below and are not registered for the above taxes should register with the Inland Revenue Department and comply with the requirements under such Acts.
Registration Threshold for VAT
- Aggregated supplies of goods (turnover) from wholesale or retail trade of any person or partnership reaches Rs.12.5 Mn for the first time for the period from 1st November to 31st December of this year or any consecutive three months in a calendar year thereafter.
- For any other business, if the liable supplies exceed Rs. 3 Mn per quarter or Rs.12 Mn per annum.
Registration Threshold for NBT
- Any person or partnership whose liable turnover is not less than Rs. 3 Mn per quarter.
The registration for VAT and NBT can be obtained by:
- Using e-Services available in the IRD Portal ird.gov.lk or
- Visiting the Taxpayers Services Unit (TPSU) in the IRD Head Office or any of the below mentioned Regional Offices, by submitting an application form (available In lrd.gov.lk for download) along with the supporting documents.
It is to be noted that registrations for all taxes (VAT & NBT) including TIN can be applied at once.
For further clarification, please contact IRD Call Centre by Dialing 1944 or see below image