Sri Lanka has published the Value Added Tax (Amendment) Act, No. 16 of 2024, which was certified on 20 March 2024. The Act provides for the formal increase in the VAT rate from 15% to 18% with retroactive effect from 1 January 2024. The increase was previously implemented through an order of the Ministry of Finance. The Act also provides for a reduction in the VAT registration threshold from LKR 20 million per taxable period (quarter) or LKR 80 million per annum, to LKR 15 million per taxabl…