Sri Lanka, June 12 -- Gains arising from the sale of certain motor vehicles will no longer be treated as taxable income under a series of amendments introduced through the Inland Revenue (Amendment) Act, No. 11 of 2026, the Inland Revenue Department (IRD) announced.

The amendments, which came into effect following the certification of the Act on June 3, 2026, introduce several changes to the Inland Revenue Act, No. 24 of 2017, aimed at strengthening tax administration, improving compliance and encouraging non-cash transactions.

Among the key changes is the revision of capital gains tax rates. Individuals and partnerships will now be subject to a 15 per cent capital gains tax, while trusts, unit trusts, mutual funds and non-governmental...