Local News: The Government has exempted Value Added Tax ( VAT) from the provision of services by travel agents registered with the Sri Lankan Tourism Development Authority in respect of inbound tours.
This VAT waiver came into effect on April 1.
Industrial Exports and Investment Promotion, Tourism and Aviation Minister Prasanna Ranatunga said yesterday that the Cabinet Memorandum submitted by Prime Minister Mahinda Rajapaksa was approved by the Cabinet to accept long-term applications for tax concession from inbound tour operators and travel agencies in that region.
There are over 1,000 travel agents registered with SLTDA who provide inbound travel services. The COVID-19 pandemic, however, has driven thousands of tourists away, depriving those operators of the main source of income. He further said the tourism industry that had collapsed as a result of COVID-19 would be reviewed in the future with a range of initiatives and programs being introduced.