Sri Lanka Personal Income Tax
Detailed personal income tax rates and rules for Sri Lanka in 2026.
Sri Lanka's personal income tax applies progressive rates from 6% to 36%. A personal relief of LKR 1.2 million applies. These rates were significantly increased from January 2023 as part of IMF-supported fiscal reforms. Residents are taxed on worldwide income while non-residents are taxed on Sri Lankan-sourced income.
| Income Range (LKR) | Tax Rate |
|---|---|
| Rs 0 – Rs 1.2M | 6% |
| Rs 1.2M – Rs 1.7M | 12% |
| Rs 1.7M – Rs 2.2M | 18% |
| Rs 2.2M – Rs 2.7M | 24% |
| Rs 2.7M – Rs 3.2M | 30% |
| Rs 3.2M+ | 36% |
Filing Deadline
September 30 (individuals); November 30 (businesses)
Residency Rule
An individual present in Sri Lanka for 183 days or more in a year of assessment is a resident. Residents are taxed on worldwide income.
Additional Notes
Sri Lanka's tax rates were raised sharply in 2022-2023 as the country undertook fiscal consolidation under an IMF Extended Fund Facility program following the 2022 economic crisis.
How Sri Lanka Income Tax compares
Sri Lanka’s top personal income tax rate of 36% is the 54th highest of 203 countries TaxAtlas tracks, above the global average of 27.7% and Asia’s regional average of 22.2%.
