Drafting of property tax proposal initiated

The Ministry of Finance in Sri Lanka has confirmed its intent to introduce a new National Property Tax (NPT), following recommendations from an International Monetary Fund (IMF) study. Contrary to rumors, the government clarified that only a property tax will be implemented, dispelling speculation about an inheritance tax. The Department of Fiscal Policy is currently drafting the proposal for the NPT, aiming for implementation by January 2025. This move aligns with the government's revenue generation plan agreed upon with the IMF in 2023, which includes reaching a primary fiscal surplus of 2.3% of GDP by 2025 and introducing a nationwide real property tax.

Start by clicking here to read more about the IMF's involvement in Sri Lanka and its impact on economic policies, published on PublicFinance.lk