Sri Lanka gaming tax contribution falls in real terms
The proportion of tax revenue from gambling has fallen year-on-year.
Sri Lanka.- Betting and gaming levies in Sri Lanka rose by 42 per cent year-on-year to RS1.27bn (US$3.96m) in the first quarter, according to a report by the Inland Revenue Department. However, with an annual rate of inflation of over 50 per cent and overall tax collection up by 216 per cent at RS316.62bn (US$1.12bn), the proportion of tax revenue from gambling was down on last year.
Sri Lanka’s Ministry of Finance announced last year that it had been tasked with setting up a casino regulatory authority to ensure fair payment of taxes from casino operators. The government had previously sad it would issue casino licences to existing casino operators in order to raise taxes.
The Casino Business (Regulation) Act No. 17 was passed in 2010 to introduce licences for gambling establishments, but regulations and licences had still not been issued. Currently, Sri Lanka has several operational casinos, with the most luxurious situated in the capital, Colombo.
