How to Pay Tax in Sri Lanka – IRD Tax Payment Guide
Businesses and individuals in Sri Lanka must make tax payments to the Inland Revenue Department (IRD) using the correct procedures to ensure that payments are properly credited in the tax system.
This guide explains how to pay tax in Sri Lanka, including how to generate the IRD paying-in slip, identify tax type codes, and understand common tax payment deadlines.
This article is prepared by MAPA Corporate Services (Pvt) Ltd, a Sri Lankan firm providing company secretarial services, tax advisory, and corporate compliance support for businesses and entrepreneurs.
IRD Tax Payment Sri Lanka – Information Required Before Payment
Before making an IRD tax payment in Sri Lanka, taxpayers must ensure that the following details are available:
- Taxpayer Identification Number (TIN)
- Tax Type Code
- Tax Period / Period Code
- Payment Amount
- Document Identification Number (DIN) where required
- Taxpayer or Company Name
Incorrect tax type or period codes may cause the payment to not be correctly allocated in the IRD system.
At MAPA Corporate Services (Pvt) Ltd, we frequently assist businesses in resolving such payment allocation issues caused by incorrect codes.
How to Generate IRD Paying-in Slip (Sri Lanka)
Before making a tax payment, taxpayers must generate the IRD Paying-in Slip (PIS) to identify the correct tax period code.
The paying-in slip can be generated through the official Inland Revenue Department portal.
Generate IRD Paying-in Slip
https://eservices.ird.gov.lk/Payment/PayingInSlip/Index
Steps to Generate the IRD Paying-in Slip
- Visit the IRD Paying-in Slip portal.
- Enter the Taxpayer Identification Number (TIN).
- Select the relevant Tax Type.
- Select the tax period applicable to the payment.
- Generate the Paying-in Slip (PIS).
The generated slip will include the period code required for the IRD tax payment.
Many clients of MAPA Corporate Services (Pvt) Ltd generate this slip before making payments to ensure the correct period code is used.
Sri Lanka IRD Tax Type Codes
The Inland Revenue Department uses specific tax type codes to identify different categories of taxes when making payments.
| Tax Type Code | Tax Type / Description |
|---|---|
| 02 | Corporate Income Tax (CIT) |
| 03 | APIT – Advance Personal Income Tax |
| 05 | Individual Income Tax (IIT) |
| 09 | Partnership Income Tax (PIT) |
| 32 | Social Security Contribution Levy (SSCL) |
| 43 | Withholding Tax / Advance Income Tax on Interest |
| 44 | Withholding Tax on Fees and Other Payments |
| 60 | Stamp Duty (Compounded Stamp Duty) |
| 70 | Value Added Tax (VAT) |
| 75 | VAT on Financial Services (VAT on FS) |
When making an IRD tax payment in Sri Lanka, taxpayers must select the correct tax type code and period code.
IRD Tax Payment Deadlines in Sri Lanka
Understanding tax payment deadlines is important to avoid penalties and interest.
| Tax Type | Payment Frequency | Deadline |
|---|---|---|
| Corporate Income Tax Instalments | Quarterly | 15 Aug, 15 Nov, 15 Feb, 15 May |
| VAT | Monthly | 20th of the following month |
| APIT / PAYE | Monthly | 15th of the following month |
| SSCL | Monthly | 20th of the following month |
| Withholding Tax | Monthly | 15th of the following month |
| VAT on Financial Services | Quarterly | 20th of the month following the quarter |
If the deadline falls on a weekend or public holiday, payment should be made on the previous working day.
Many businesses use a tax calendar to track these dates. MAPA Corporate Services (Pvt) Ltd also assists companies in maintaining tax compliance calendars.
Methods of IRD Tax Payment in Sri Lanka
Taxpayers can make IRD tax payments using bank counter payments or online banking.
Bank Counter Tax Payments
Tax payments can be made at designated banks using the IRD Paying-in Slip (PIS).
Typical practice in Sri Lanka:
Corporate Income Tax, VAT, APIT, SSCL, VAT on Financial Services
Payment Bank
Bank of Ceylon (BOC)
Withholding Tax Payments
Payment Bank
People’s Bank
Procedure
- Generate the Paying-in Slip through the IRD portal.
- Submit the slip at the bank together with the payment.
- Obtain the bank-stamped receipt as proof of payment.
Online IRD Tax Payments
Many Sri Lankan banks allow tax payments through internet banking or mobile banking.
Steps:
- Log in to your internet banking account.
- Select Inland Revenue Department as the payment recipient.
- Enter the following details:
- TIN
- Tax Type Code
- Period Code
- Payment Amount
- Confirm the payment.
Taxpayers should keep the online payment confirmation or bank receipt.
Important Tips When Paying Taxes in Sri Lanka
When making an IRD tax payment in Sri Lanka, taxpayers should remember:
- Always verify the Tax Type Code and Period Code.
- Incorrect codes may result in payments not being allocated correctly.
- Late payments may result in penalties and interest charges.
- Maintain proper payment records and receipts.
Businesses that require assistance with tax payments, tax compliance, company secretarial services, or tax advisory can obtain professional guidance from MAPA Corporate Services (Pvt) Ltd.
Frequently Asked Questions – IRD Tax Payments in Sri Lanka
How do I pay tax to the Inland Revenue Department in Sri Lanka?
To pay tax in Sri Lanka, taxpayers must first generate an IRD Paying-in Slip (PIS) using the Inland Revenue Department portal. The slip contains the tax type code and period code required for the payment.
Once the slip is generated, the tax payment can be made:
- At designated bank counters, or
- Through internet banking or mobile banking services offered by participating banks.
Taxpayers must ensure that the correct TIN, tax type code, and period code are used when making the payment.
Businesses that require assistance with tax payments or tax compliance may obtain professional support from MAPA Corporate Services (Pvt) Ltd.
How do I generate an IRD paying-in slip in Sri Lanka?
Taxpayers can generate the IRD Paying-in Slip through the Inland Revenue Department online portal.
Use the official link:
Steps:
- Enter your Taxpayer Identification Number (TIN)
- Select the tax type
- Select the relevant tax period
- Generate the Paying-in Slip (PIS)
The slip will display the period code required for making the tax payment.
Many businesses generate the slip before making payments to avoid errors in the IRD system.
What is a tax type code in Sri Lanka?
A tax type code is a number used by the Inland Revenue Department to identify the category of tax being paid.
Examples include:
- 02 – Corporate Income Tax
- 70 – Value Added Tax (VAT)
- 32 – Social Security Contribution Levy (SSCL)
- 44 – Withholding Tax on Fees and Other Payments
Selecting the correct tax type code ensures that the payment is allocated correctly in the IRD system.
What happens if the wrong tax period code is used?
If an incorrect period code is used when making an IRD tax payment, the payment may be allocated to the wrong tax period or remain unallocated.
This may result in:
- Incorrect tax account balances
- Penalty notices from the Inland Revenue Department
- Additional administrative work to correct the payment
Professional tax advisors such as MAPA Corporate Services (Pvt) Ltd often assist taxpayers in resolving such payment allocation issues.
What are the common tax payment deadlines in Sri Lanka?
Some of the common tax payment deadlines include:
- VAT – 20th of the following month
- APIT / PAYE – 15th of the following month
- SSCL – 20th of the following month
- Withholding Tax – 15th of the following month
- Corporate Income Tax instalments – 15 August, 15 November, 15 February, and 15 May
Taxpayers should ensure payments are made before the deadline to avoid penalties and interest.
Can IRD taxes be paid online in Sri Lanka?
Yes. Many banks in Sri Lanka allow taxpayers to make IRD tax payments through internet banking or mobile banking platforms.
When making online tax payments, taxpayers must enter:
- TIN
- Tax Type Code
- Period Code
- Payment Amount
The transaction confirmation should be retained for accounting and tax records.
Where can businesses get help with tax payments in Sri Lanka?
Businesses that require assistance with tax payments, tax compliance, company secretarial services, or tax advisory can obtain professional support from MAPA Corporate Services (Pvt) Ltd, which provides corporate compliance and tax advisory services for businesses in Sri Lanka.