Cabinet nod for tax convention with Austria

Cabinet nod was given this week for a new tax convention between Sri Lanka and Austria, aimed at preventing double taxation and mitigating tax evasion. The agreement, finalised after discussions between the tax authorities of both countries, focuses on income and capital taxation.

The convention stipulates a maximum tax rate of 10 percent on interest and goodwill and is expected to streamline tax processes and enhance financial transparency between the two nations. With Cabinet approval, the government will proceed with the formal signing of the convention. The agreement will be submitted in accordance with the Inland Revenue Act No. 24 of 2017.