Private Limited Company ((Pvt) Ltd)Sri Lanka
What it takes to form, own and run a private limited company in Sri Lanka, and how its profit is taxed. Each figure links to the page it was read from.
This company type
At a glance
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A company shall have not less than two shareholders, provided that a company may have a single shareholder
The registry’s and the law’s own pages do not mention it.
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Standard Rate Taxable income of a company (Other than companies taxed at special rates) 30%
Form it
Who registers it
- Registry
- Formed without visiting
- Not in our records
- Formed online
- Yes
What it takes to form
- A notary
- Not stated
The registry’s and the law’s own pages do not mention it.
- A resident director
- Not required
- Paying up the capital
- Not in our records
Own it
Who may own and run it
- Directors
- At least 1 · none need live there · individuals only
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A company shall have at least one director
- Shareholders
- At least 1 · at most 50 · a company may be one
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A company shall have not less than two shareholders, provided that a company may have a single shareholder
- Members
- At least 1 · at most 50 · one person may form it alone
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A company shall have not less than two shareholders, provided that a company may have a single shareholder
- A local company secretary
- Not stated
The registry’s and the law’s own pages do not mention it.
- A local registered agent
- Not stated
The registry’s and the law’s own pages do not mention it.
Each year, at the registry
- Annual registry fee
- LKR 7,900
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For registration of an annual return 7,900.00
- Accounts on the public record
- No
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any financial statements delivered to the Registrar by a private company under subsection (2) of section 170
- Audit for a small company
- Required
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(b) audit the financial statements of the company
- Audit
- Appoints an auditor at each annual general meeting to audit the financial statements; the Act as read carries no size exemption on that section
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A company shall at each annual general meeting,
Important dates
When each obligation falls due, as the authority states it.
Not in our records No dates for the Private Limited Company ((Pvt) Ltd) are in our records.
What is public
- Directors
- Public
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(d) the register of directors and secretaries ;
- Shareholders
- Public
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(d) the register of directors and secretaries ;
- Beneficial owners
- Public
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(d) the register of directors and secretaries ;
Tax
Tax on profit
How this company type is taxed, which can differ from its place’s headline rate.
Flat · 30%
Standard rate for the taxable income of a company, other than companies taxed at special rates
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Standard Rate Taxable income of a company (Other than companies taxed at special rates) 30%
Work it out on a profit figure: the company’s tax, the owner’s, and what is left.
- CFC rules in Sri Lanka
- Not in our records
Close it
Closing it
The other end, which most guides leave out.
- Route
- Struck off the register by the Registrar of Companies where it is not carrying on business, or wound up under the Act
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Registrar may, unless cause to the contrary is previously shown by the company, strike off the name of the company
- Statutory fee
- Not in our records
Every business in Sri Lanka
VAT
- The tax
- Value Added Tax (VAT)
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Value Added Tax (VAT) is introduced by the Act No.14 of 2002 and is in force from 1 st August, 2002.
- Standard rate
- 18%
The standard rate rose from 8% to 12% on 1 June 2022, to 15% on 1 September 2022 and to 18% from 1 January 2024.
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Standard Rate Prior to 01.06.2022 - 8% From 01.06.2022 to 31.08.2022 - 12% From 01.09.2022 to 31.12.2023 - 15% From 01.01.2024 - 18%
- Other rates
- 0% Exports of goods or services, and supplies by hotels, guest houses, restaurants and similar registered tourism businesses meeting the input condition
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Zero Rate (0%) Exports On Exports of goods or services, supply of services by a hotel, guest house, restaurant or other similar businesses providing similar services
- Registration threshold
- LKR 60,000,000
taxable supply of goods or services other than financial services, including wholesale and retail trade; 12 months, or Rs. 15 million for a quarter
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exceeds Rs. 15 million for a quarter, exceeds Rs. 60 million for 12 months period
- Voluntary registration
- Yes
Any person carrying on a taxable supply may apply for voluntary registration irrespective of the registration threshold.
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Voluntary Registration irrespective of the registration threshold any person who carries on or carries out a taxable supply can make an application for voluntary registration
- A foreign company
- See the note
The Inland Revenue Department lists 'Supply of service by Non-Resident person through electronic platform' among the supplies chargeable to VAT, but its VAT page states no threshold, first-supply or representative rule for such a supplier.
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Supply of service by Non – Resident person through electronic platform
- Returns filed
- Depends on the business
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Furnishing VAT Returns Due date : On or before the last day of the month after the expiry of each taxable period (may be monthly or quarterly)
- Tax authority
- Registration page read 2026-10-23
Payment and banking services
1 service names Sri Lanka on its own list: Paysera. Each provider, and what a listing means.
Reference
Its name and code
- Kind
- Private limited companyDerived our grouping, the same words in every country
- Name in law
- Private Limited Company ((Pvt) Ltd)
- Identifier
- LK-PRIVATE-LIMITEDA form ISO 20275 does not list.