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Tourism Development Levy

TOURISM DEVELOPMENT LEVY - TDL

The Sri Lanka Ministry of Tourism in consultation with the Ministry of Finance introduced the Tourism Development Levy in September 2003. The Tourism Development will be used towards developing and promoting Sri Lanka tourism.

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Tourism development levy

In terms of the Part 1 of the Finance Act No 25 of 2003, there shall be levied from every institution licensed under the Tourism Development Act, No. 14 of 1968, a levy of one percentum on the turnover of such institution in any year, to be called the Tourism Development Levy.

However, provided further, from and after January 1st, 2019, such a levy shall be charged from any institution having an annual turnover of not exceeding rupees twelve million or a quarterly turnover not exceeding rupees three million at the rate of 0.5 per centum on such turnover of such institution.View Circular.

Submission of the TDL quarterly statements and more information refer Tourism Development Levy Gazette.

The purpose of this part the turnover in relation to –

a) a tourist hotel, means the amount received or receivable from the total sales excluding the service charges up to ten per centum of such sales and the value added tax charged on such sales in terms of the Value Added Tax Act, No 14 of 2002;

b) a travel agent, means the total receipts from services provided in relation to the tourist industry excluding payments made by him in respect of services provided  to him by other local service providers and the value added tax charged on such services in terms of the Value Added Tax Act, No 14 of 2002;
provided however such levy shall not be charged on the commission carried on the sale of airline tickets from Travel Agent including General Sales Agents licensed under the Tourism Development Act  NO 14 of 1968

 

c) a tourist shop, means the amount received or receivable from the total sales of products from any such shop excluding the value added tax charged on such sales in terms of the Value Added Tax Act, No.14 of 2002.