D & D Accounting Solutions

Covid-19 Impact on Financial Statements

(Via BestAcc Accounting & Taxation Consulting Services)

👉Tax free threshold for turnover for Vat to be raised from Rs 1mn per month to Rs 25mn per month.

👉 Vat on banking, financial services & insurance to be maintained at 15% & NBT removed

👉 Farm income from agriculture, fishing & livestock to be made income tax free

Tourism business will be treated as export for zero rate provided that 60% turn over is sourced from local supplies.

👉Withholding Tax on interest income removed for those monthly interest income less than Rs 250,000.

👉Tax imposed on religious institutions removed
👉2% NBT removed
👉Telecommunications Levy reduced by 25%
👉Foreign Currency earnings excempted from income tax
👉Construction Industry to be placed on 14% income tax instead of 28%
👉IT & enabling services to be made tax free from all taxes

Wishing everyone a wonderful year ahead!