In a recent announcement, the Sri Lankan government has decided to delay the mandatory commencement of tax file openings from January 1st to February 1st. This strategic move aims to provide citizens with additional time to adhere to the new requirement.
Finance State Minister Ranjith Siyambalapitiya emphasized that the public can easily comply with the regulation by accessing the Inland Revenue Department (IRD) website and registering through the online system. He clarified that a National Identification Card is the sole requirement for opening an account.
Furthermore, Minister Siyambalapitiya highlighted that while registration with the department is obligatory, individuals are only liable to pay taxes if their monthly income exceeds Rs. 100,000.
In alignment with the directives outlined in the 2024 budget, the Tax Identification Number (TIN) will become a mandatory prerequisite for various transactions, including:
(a) Opening a bank current account at any bank;
(b) Obtaining approval for a building plan, by the applicant;
(c) Registering a motor vehicle or renewing a license, by the owner;
(d) Registering a land or title to a land, by the buyer.
