Major increase in Income Tax & Other Tax revenues
The Inland Revenue Department (IRD) has announced a significant increase in tax revenue collection for the period of January to August 2024, with a total of Rs. 1,229,245 million being collected. This marks a 28.5% increase compared to the Rs. 956,418 million collected during the same period in 2023.
According to the IRD’s latest press release, the boost in tax revenue is driven by a combination of factors, including newly implemented tax policies, economic recovery, and improved tax administration. The breakdown of tax revenue collections highlights substantial growth in key tax categories:
Corporate & Non-Corporate Income Tax rose from Rs. 535,301 million in 2023 to Rs. 624,439 million in 2024.
Value Added Tax (VAT) saw a significant jump, increasing from Rs. 307,692 million to Rs. 468,863 million.
Social Security Contribution Levy collections grew to Rs. 122,917 million from Rs. 107,898 million.
Other categories such as the Betting & Gaming Levy and Share Transaction Levy also witnessed increases.
The Department extended its gratitude to taxpayers and emphasized that this growth is a positive sign of a recovering economy, supported by more efficient tax administration.
The Commissioner General reaffirmed the IRD’s commitment to providing high-quality services to ensure continued compliance and support for the nation’s development.
