Duty on imported vehicles halved
The government of Sri Lanka yesterday (1st June) reduced the excise duty on imported vehicles by 50 percent and removed a 15 percent surcharge on all imports while reducing duty on electrical appliances.
With effect from yesterday, a car such as an Indian-made Maruti, which had attracted excise duties of up to 183 percent of its value, would now be charged a duty of 90 percent, Director General of Fiscal Policy S. R. Attygala said.
Cars attracted over 300 percent in excise duties, import duties, value added taxes, port and airport development levies and national security levies.
The government hopes the tax cuts would generate more imports and help revive revenues which had suffered due to high taxes last year.
