Opposition Leader – Sajith Premadasa has slammed the 15% Services Export Tax
Taking to X, he points out that the tax will cripple Sri Lanka’s digital economy and drive talent away.
“IT freelancers & service exporters bring in much-needed forex. Taxing them discourages growth, investment & innovation. At a time when needs to boost exports, this move will push talent overseas—hurting our economy long-term. Instead of taxing dollar earners, the govt should incentivize & support them to boost long term revenue, investments and talent and industry development,” he points out.
Speaking during the Cabinet briefing yesterday (Feb. 25), Cabinet Spokesman Nalinda Jayatissa said that the government has no choice but to implement the Services Export Tax under the current circumstances.
According to reports, the tax, which is to be implemented from April 01, 2025, will affect individuals and companies in Sri Lanka that provide services to external parties and bring back foreign exchange.
Meanwhile, speaking at a media briefing held today (Feb. 26), leader of the Sarvajana Balaya – MP Dilith Jayaweera said that the tax could discourage creative entrepreneurship and drive foreign exchange transactions into informal channels such as ‘Undiyal.
Referring to the February 21 gazette amending the Inland Revenue Act, No. 24 of 2017, he further said that the tax applies to freelancers and professionals, including content creators on YouTube and Facebook, freelance creatives using platforms like Fiverr, and consultants such as doctors, lawyers, and accountants.
