Sri Lanka tax rates
The top rates a resident individual pays on each kind of income, computed by the Sovereign tax engine from its Sri Lanka tax profile, with a provisional figure from a published summary where the engine has none yet.
Tier 1 — every figure rests on a statute or a tax authority page. Sources last checked 7 November 2026. Figures last changed 4 November 2026. Profile last reviewed 27 May 2026.
Scroll across the table to see all tax rates.
| Salary | Capital gains | Dividends | Interest | Rent | Crypto gains | |
|---|---|---|---|---|---|---|
| Sri Lanka | 44% | 15% | 15% | 36% | 27% | 15%* |
* Provisional — not yet verified by the Sovereign engine. crypto gains: from KPMG, read 10 November 2026. The engine's own figure replaces a provisional one as soon as the Sri Lanka profile carries an accepted source for it.
Each figure is the tax on one more unit of a very large amount of that income, with every layer the engine models: surtaxes and uncapped social contributions included. It is the top marginal rate, not the average rate you pay on all your income.
What is the top income tax rate in Sri Lanka?
The top rate on a salary is 44%. It is the tax on each extra unit of a very high salary, with surtaxes and uncapped social contributions included. The income tax scale alone reaches 36% above LKR 4,300,000.
How are capital gains taxed in Sri Lanka?
The top rate on a long-term capital gain is 15%. The rate does not depend on how long you held the asset.
How are dividends and interest taxed in Sri Lanka?
The top rate is 15% on dividends and 36% on interest. Rental income is taxed at up to 27%.
How is crypto taxed in Sri Lanka?
Still unverified: we have not settled how Sri Lanka classifies a private investor's crypto gain or at what rate, so the engine states no crypto figure. A missing figure is not an exemption. Provisionally 15%: the top rate on a crypto gain from a KPMG summary read on 10 November 2026. The Sovereign engine has not yet computed this rate, so treat it as a pointer, not a verified figure. No specific rule; a gain on an investment asset is taxed at 15% since June 2026 (was 10%).
Does Sri Lanka tax foreign income?
Yes. Sri Lanka taxes its residents on their worldwide income. A tax treaty or a credit for foreign tax can reduce the tax on income from abroad.
Does Sri Lanka have a wealth tax?
This is not verified as a general wealth tax. Sri Lanka has current 2026 local property assessment taxes: Colombo, Matara Municipal Council and Matara Pradeshiya Sabha gazettes use different rates and locally accepted annual assessed values. A national property-tax reform is still planned for 2027. Council, property class, statutory valuation, exemptions and any general net-wealth treatment are not established for a national calculator; no 2026 zero or complete amount is certified.
Does Sri Lanka have an exit tax for individuals?
Yes. Sri Lanka can tax unrealised gains, or some of them, when a resident individual moves abroad. The conditions depend on the asset and the holding.
When do you become tax resident in Sri Lanka?
The Sri Lanka day test (183 days in 12 months commencing or ending in the assessment year): 183 days in a 12-month period tied to the April-to-March assessment year. The assessment year runs 1 April to 31 March. The calculator tests recorded periods that commence or end in the selected year; residence and government or ship employment need separate facts.
Residence decides whether Sri Lanka taxes you on these rates. See the Sri Lanka day-count test and count your own days.
Sources
The Sri Lanka profile cites 8 sources for these rules, 8 of them from a government or a statute. A provisional figure in the table names its own source under the table.
- Inland Revenue Act: First Schedule 1(1C); Fifth Schedule 2(a)(iv) · official, retrieved 2026-11-03
- IRD 2025/26 tax chart; Act First Schedule 1(1D) · official, retrieved 2026-11-03
- lk chart 20261107 · official, retrieved 2026-11-07
- IRD Capital Gain Tax: individual rate history and excluded investment assets · official, retrieved 2026-11-03
- Act 11 of 2026, sections 1(2), 36(1): individual investment gains · official, retrieved 2026-11-07
- Inland Revenue Act sections 7, 88(1A); annual resident interest liability · official, retrieved 2026-11-03
- IRD self-declaration notice SEC/PN/IT/2026/01 · official, retrieved 2026-11-03
- Inland Revenue Act section 52(2); Fifth Schedule 2(c) · official, retrieved 2026-11-03
The model covers the general rules for a resident individual. It does not cover every deduction, credit, tax treaty or local tax, and rules change after the check date above. Did you find an error? Tell us, with the source.
Compare Sri Lanka with other countries
Top rates do not show what you would pay. Sovereign applies these rules to your own assets, income and debts, and compares the result across 165 countries. Put Sri Lanka side by side with other countries, see every country or try the live demo.
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