iCalculator™ LK: Sri Lanka Tax Calculators
Welcome to iCalculator™ LK, your comprehensive suite of free tax calculators for Sri Lanka. iCalculator™ has provided free tax calculators for Sri Lanka since 2019. Since those early days we have extended our resources for Sri Lanka to includes Tax Guides, Tax Videos and enhanced the tax calculators and supporting tax information. The Sri Lanka Tax Calculator and salary calculators within our Sri Lanka tax section are based on the latest tax rates published by the Tax Administration in Sri Lanka. In this dedicated Tax Portal for Sri Lanka you can access:
Sri Lanka Tax Calculator 2024/25
The Sri Lanka Tax Calculator below is for the 2024 tax year, the calculator allows you to calculate income tax and payroll taxes and deductions in Sri Lanka. This includes calculations for
- Employees in Sri Lanka to calculate their annual salary after tax.
- Employers to calculate their cost of employment for their employees in Sri Lanka.
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Discover Sri Lanka
Sri Lanka, formerly known as Ceylon, is an island nation in South Asia, located in the Indian Ocean to the southeast of the Indian subcontinent. It occupies a strategic maritime position close to the international shipping routes. The country shares maritime borders with India to the northwest and the Maldives to the southwest. Sri Lanka's geographical positioning has historically made it a point of convergence for trade and cultural exchanges, contributing to its diverse and rich cultural heritage.
The economy of Sri Lanka is diverse, encompassing various sectors such as agriculture, manufacturing, and services, with tourism and textiles being significant contributors to its GDP. Agriculture has traditionally been a cornerstone of the economy, with tea, rubber, and coconut being the main crops. Sri Lanka is renowned globally for its Ceylon tea. The country has also made substantial strides in the textile and apparel industry, exporting goods to international markets. In recent years, the information technology and telecommunications sectors have shown rapid growth, positioning Sri Lanka as a rising tech hub in the region.
Culturally, Sri Lanka boasts a rich tapestry of traditions influenced by Buddhism, Hinduism, and colonial legacies from Portuguese, Dutch, and British rule. This blend is reflected in the country's festivals, cuisine, and arts. The Sinhalese and Tamil New Year, Vesak (Buddha's birthday), and the Kandy Esala Perahera are among the key cultural celebrations. Sri Lanka's cuisine is noted for its use of spices, rice, and curries, offering an array of flavorful dishes.
Neighboring countries include India and the Maldives, whose proximities influence Sri Lanka's strategic, economic, and cultural landscapes. The interplay with these neighbors underscores the island's role in regional dynamics and its significance in South Asia’s geopolitical and economic spheres.
Tax overview of Sri Lanka
Sri Lanka’s tax system plays a crucial role in the country's economic framework, supporting government revenue and enabling public services and infrastructure development. The tax regime in Sri Lanka comprises various types of taxes, including income tax, corporate tax, value-added tax (VAT), and customs duties, designed to balance the needs of economic growth with social welfare objectives.
Personal income tax in Sri Lanka is structured around a progressive system, where the rate increases with the individual’s income, ensuring equity within the taxation process. Corporate tax applies to companies’ profits, with different rates for various sectors to encourage investment in key areas of the economy. VAT is a significant source of revenue, applied to a wide range of goods and services, with certain exemptions to support essential items and services.
Customs duties are levied on imports, playing a vital role in regulating the external trade environment and protecting domestic industries. Sri Lanka also implements social security contributions and taxes on interest and dividends, contributing to the comprehensive nature of its tax system. The government continuously seeks to refine its tax policies to enhance efficiency, broaden the tax base, and encourage compliance.
For individuals and businesses looking to navigate Sri Lanka's tax system, detailed insights and tools are available. These resources can assist in understanding obligations and planning effectively. Explore our tax hub for access to the latest tax tools and tables, designed to provide valuable assistance in managing taxation matters in Sri Lanka.