|
Short title.
|
1. This Act may be cited as the National Security Act No, 52 of 1991.
|
Person to whom this Act applies.
|
2.
|
(1) This Act shall apply to every person who-
|
(a) carries on the business of manufacturer of any article ; or
|
|
(b) imports any article manufactured outside Sri Lanka; or
|
|
(c) carries on the business of insurance or banking or finance ; or
|
|
(d) carries on the business of providing telecommunication services; or.
|
|
(e) carries on the business of providing a service of any description other than a service referred to in paragraph (c) or paragraph (d)
|
|
|
(2) Every person referred to in subsection (1) shall, hereafter in this Act be referred to as a ” person to whom this Act applies”.
|
|
Imposition of the National Security Levy.
|
3.
|
|
(1) Subject to the succeeding provisions of this Act, there shall be charged from every person to whom this Act applies being a person ”
|
(a) referred to in paragraph (a), (b) or (c) of subsection (1) of section 2 for every quarter or part thereof, of every year commencing on January 1, 1992, on January 1, 1993, on January 1, 1994, on January 1, 1995, on January 1, 1996 and on or after January 1, 1997;
|
|
(b) referred to in paragraph (d) of subsection (1) of section 2 for every quarter of part thereof of every year commencing on or after April 1, 1998;
|
|
(c) referred to in paragraph (c) of subsection (1 ) of section 2, for-
|
(i) the period commencing on February 15, 2000 and ending on March 31. 2000, if the turnover of that person for that period is fifty thousand rupees or over.
|
|
|
(ii) every quarter or part thereof of every year commencing on or after January 1, 1997 (hereinafter referred to as ” the relevant quarter”) a National Security Levy” (hereinafter referred to as “the levy”) on the turnover or pan thereof, of that person for that quarter or part thereof, calculated at the appropriate rates specified in the Schedule to this Act
|
|
|
|
(2) Notwithstanding the preceding provisions of this section, turnover of a person to whom this Act applies shall, for the purposes of this Act, be deemed not to include”
|
(a) the proceeds from the export by such person of any article manufactured by him ;
|
|
|
(b) the value of any article not being plant, machinery or fixtures imported by such person exclusively for use in or for the manufacture by such person, of any article for export
|
|
|
(c) the proceeds from the sale of any article manufactured outside Sri Lanka by the person importing such article;
|
|
|
(cc) the value of any wheat or wheat flour imported by such person ;
|
|
|
(ccc) proceeds from the sale of any wheat Hour or bread manufactured in Sri Lanka by such person ;
|
|
|
(d) the proceeds from the sale of any article to any exporter, if the Commissioner-General is satisfied, on the production of a letter of credit opened in any bank in Sri Lanka in respect of the export of that article or other documentary evidence, that suck article has in fact been exported from Sri Lanka;
|
|
|
(e) the value of any article which is imported, it proved to the satisfaction of the Commissioner-General of Inland Revenue, that such article is imported to Sri Lanka for-
|
(i) display at an exhibition;
|
|
(ii) the temporary use in Sri Lanka in any project approved by the Minister;
|
|
(iii) for the propose of repairs to that article to be carried out in Sri Lanka ;or
|
|
(iv) any other similar purpose
|
and is to be reshipped by such person, with in a period of one year from the date of importation off such article to Sri Lanka;
|
|
|
(f) the value of any gold imported by such person;
|
|
|
(ff) the value of any ship or aircraft which is imported into Sri Lanka, if it is proved to the satisfaction of the Commissioner-General of Inland Revenue that such ship or aircraft is being used for international transportation of goods or passengers
|
|
|
(g) the value of any article imported, it proved to the satisfaction of the Director-General of customs, that such article was, prior to its importation, taken out of Sri Lanka for repairs;
|
|
|
(h) the value of any spare part imported by any airline or shipping company, if proved to the satisfaction of the Commissioner General, that such spare part is to be used in Sri Lanka for the repair or maintenance of any aircraft or ship, used in international traffic and owned or chartered by such airline or shipping company ;
|
|
|
(i) the proceeds from the sale of any article, or any sum received or receivable in respect of the provision of any service to the United Nations Organisation or to any specialized agency of such Organization or to the diplomatic mission of any foreign Government or to any member of the diplomatic staff of such mission;
|
|
|
“(j) any sum received or receivable by such person from –
|
(A) the provision of any one or more of the following services :-
|
(i) supply of electricity ,
|
|
(iv) transport of goods or passengers ;
|
|
(v) leasing of movable property :
|
|
(vi) repair services, of any description, if such person is registered under the Goods and Services Tax Act, No. 34 of 1996;
|
|
(vii) educational services at an educational institution ;
|
|
|
(viii) services of a construction contractor or sub-contractor for the construction of any building, road, bridge, water supply, drainage or sewerage system, harbour, airport or any infrastructure project in telecommunications or electricity, not being-
|
(a) services for the supply of any material, plant, machinery or equipment; or
|
|
(b) professional or consultancy services, for the purposes of, or in connection with, such construction;
|
|
|
(ix) services provided to any exporter of any article, being services directly related to improving the quality and character of such article :
|
|
(x) the services of sewing garments provided to any exporter of such garments :
|
|
|
(xi) services of a freight forwarder, shipping agent licensed under the Licensing of Shipping Agents Act, No. 10 of 1972, airline agent licensed under regulations made under the Air Navigation (Special Provisions) Act, No. 55 of 1992 or courier, insofar as such services are in respect of the export of any article from Sri Lanka ;
|
|
|
“(xia) services of a port operator or port container terminal operator, provided at any port;
|
|
(xib) services of a computer software developer in respect of software developed by such person for use wholly outside Sri Lanka and for which payment is received in foreign currency through a bank ;
|
|
(xic) services provided over the internet, using custom built software, by an enterprise set up on or after April 1, 200!, exclusive for the provision of such services being services enabling or facilitating the sale of goods, or for the provision of services, by a person in Sri Lanka to persons outside Sri Lanka, for payment in foreign currency ;
|
|
|
(xid) client support services provided, on or after April 1, 2001 over the internet or the telephone by an enterprise set up exclusively for the provision of such services to one or more identified clients out side Sri Lanka, for which payment is received in foreign currency, through a bank ;
|
|
(xii) services provided by a public corporation, in so far as such services are in respect of the export of any article from Sri Lanka :
|
|
(xiii) operating a hotel, guest house, restaurant or other similar business, if. such hotel, guest house, restaurant or other similar business is registered under the Goods and Services Tax Act. No. 34 of 1996;
|
|
(xiv) the services of an auctioneer, broker. Insurance agent or Commission agent of any local produce ;
|
|
(xv) the ser, ices of a travel agent in respect of inbound tours, if such person is registered with the Ceylon Tourist Board.
|
|
|
(B) distribution, or production and supply, of any cinematographic films primarily for exhibition In cinemas ;
|
|
(C) exhibiting films in a cinema ; and
|
|
|
|
(l) the value of any aviation fuel imported for the use of any aircraft; and
|
|
|
(m) the proceeds from the sale of such percentage of garments as is permitted for sale locally, and where a sum of rupees twenty-five has been paid in respect of each garment, which is manufactured by a person for export, from fabric imported into Sri Lanka.
|
|
|
|
|
4. Subject to the provisions of sections 5, 5A and 6 every person to whom this Act applies shall, notwithstanding that no assessment has been made on him, pay to the Commissioner-General the amount of the levy payable by him for any relevant quarter in three instalments, in the following manner”
|
|
(a) for the quarter commencing on January 1, 1992 –
|
(i) an amount equivalent to one per centum of the turnover of that person for the first month of that quarter , on or before the fifteenth and of the second month of that quarter;
|
|
(ii) an amount equivalent to one per centum of the turnover of that person for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ;and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and of sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter ;
|
|
|
|
(b) for the quarter commencing on April 1, 1992
|
(i) an amount equivalent to one per centum of the turnover of that person for the first month of that quarter, on or before the fifteenth day of the second month of that quarter :
|
|
(ii) an amount equivalent to three per centum of the turnover of that person for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and of sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter ;
|
|
|
|
(c) for every quarter commencing on or after July 1, 1992 but prior to January 1, 1994
|
(i) an amount equivalent to three per centum of the turnover at that person for the first month of that quarter, on or before the fifteenth day of the second month of that quarter;
|
|
(ii) an amount equivalent to three per centum of the turnover of that person for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter, reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and of sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter;
|
|
|
|
(d) for every quarter commencing on or after January 1,1994 but prior to July 1, 1995.
|
(i) An amount equivalent to three and one-half per centum of the turnover of that person for the first month of that quarter, on or before the fifteenth day of the second month of that quarter.
|
|
(ii) An amount equivalent to three and one-half per centum of the turnover of that person for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amount paid by him in accordance with the provisions of sub-paragraph (i) and of sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter ;
|
|
|
|
(e) for every quarter commencing on or after July 1, 1996 but prior to January 1, 1996-
|
(i) an amount equivalent to four and one-half per centum of the turnover of that person for the first month of the quarter, on or before the fifteen day of the second month of that quarter;
|
|
(ii) an amount equivalent to four and one-half per centum of the turnover of that person for the second month of that quarter , on or before the fifteen days of the third month of that quarter; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amount paid by him in accordance with the provisions of sub-paragraph (i) and of sub-paragraph (ii) of this paragraph, on or before the fifteen day of the month immediately succeeding the end of that quarter;
|
|
|
|
(f) for every quarter commencing on or after January 1, 1996, but prior to January 1, 1997-
|
(i) an amount equivalent to-
|
(A) four and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub paragraph ; and
|
|
(B) two per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203)
|
|
|
for the first month of that quarter, on or before the fifteenth day of the second month of that quarter ;
|
|
(ii) an amount equivalent to –
|
(A) four and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub paragraph ; and
|
|
(B) two per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motorcar, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203;)
|
|
|
for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of subparagraph(i) and subparagraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter ; and
|
|
|
|
(g) for every quarter commencing on or after January 1, 1997 but prior to October 1, 1998 ;-
|
(i) an amount equivalent to-
|
(A) four and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this subparagraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203)
|
|
|
for the first month of that quarter, on or before the fifteenth day of the second month of that quarter ;
|
|
(ii) an amount equivalent to-
|
(A) four and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this subparagraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203)
|
|
|
for the second month of that quarter, on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of subparagraph (i) and subparagraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter.
|
|
|
|
(h) for the quarter commencing on October 1, 1998:-
|
(i) an amount equivalent to-
|
(A) four and one half per centum of the turnover of that person not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the period commencing on October 1, 1998 and ending on November 5, 1998, in that quarter, on or before the fifteenth day of November, 1998 ;
|
|
(ii) an amount equivalent to-
|
(A) five and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the period commencing on November 6, 1998 and ending on November 30, 1998. in that quarter, on or before the fifteenth day of December, 1998 :
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter; and
|
|
|
|
(i) for every quarter commencing on or after January 1, 1999 but prior to April 1, 2000″
|
(i) an amount equivalent to”
|
(A) five and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the first month of that quarter, on or before the fifteenth day of the second month of that quarter,
|
|
(ii) an amount equivalent to”
|
(A) five and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the second month of that quarter, on or before the fifteenth day of the third month of that quarter; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of !he amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub – paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter.
|
|
|
|
(j) for the quarter commencing on April 1, 2000-
|
(i) an amount equivalent to”
|
(A) five and one half per centum of the turnover of that person not being turnover referred to in item (B) of this subparagraph : and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car. motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203).
|
|
|
for the period commencing on April 1. 2000 and ending on May 10, 2000 in that quarter, on or before the fifteenth day of May 2000 :
|
|
(ii) an amount equivalent to-
|
(A) six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car. motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203).
|
|
|
for the period commencing on May 10. 2000 and ending on May 31, 2000 in that quarter, on or before the fifteenth day of June 2000 :
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub-paragraph (ii) of this paragraph- on or before the fifteenth day of the month immediately succeeding the end of that quarter; and
|
|
|
(k) for every quarter commencing on or after July 1, 2000 but prior to April 1, 2001″
|
(i) an amount equivalent to-
|
(A) six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph : and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motorcar, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the first month of that quarter, on or before the fifteenth day of the second month of that quarter.
|
|
(ii) an amount equivalent to-
|
(A) six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motorcar, motor coach or lorry within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the second month of that quarter on or before the fifteenth day of the third month of that quarter ; and
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter.;.
|
|
|
|
(l) for every quarter commencing on or after April 1, 2001 but prior to October 1, 2001-
|
(i) an amount equivalent to
|
(A)seven and one hall per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B)one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor ear, motor coach or lorry, within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the first month of that quarter, on or before the fifteenth day of the second month of that quarter;
|
|
(ii) an amount equivalent to
|
(A)seven and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B)one half per centum of the turnover of that person, arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry, within the meaning of the Motor Traffic Act (Chapter 203),
|
|
|
for the second month of that quarter, on or before the fifteenth day of the third month of that quarter; and
|
|
(iii) the amount of the levy payable by such person for (hat quarter, reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding that quarter.
|
|
|
|
“(m) for the quarter commencing on October 2001:-
|
(i) an amount equivalent to:-
|
(A)Seven and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph ; and
|
|
(B)One half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor ear, motor coach or lorry, within the meaning of the Motor Traffic Act (Chapter 203),
|
|
lot the period commencing on October I, 2001. and ending on October 12. 2001, on or before the fifteenth day of November,2001 .
|
|
|
(ii) an amount equivalent to:-
|
(A) Six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph , and
|
|
(B) One half per centum of the turnover of that person arising horn the import or manufacture of any plant, machinery or equipment, not being any motor car , motor coach or lorry within the meaning of the Motor Traffic Act [chapter 203] for the period commencing on October 13, 2001, and ending on November 30, 2001, on or before the fifteenth day of December 2001 and
|
|
|
(iii) the amount of the levy payable by such person for that quarter reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraphs (i) and (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter ; and
|
|
|
|
(n) for every quarter commencing on or after January 1,2002:-
|
(i) an amount equivalent to:-
|
(A) Six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub paragraph , and
|
|
(B) one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry, within the meaning of the Motor Traffic Act (Chapter 203).
|
|
for the first month of that quarter on or before the fifteenth day of the second month of that quarter
|
|
|
(ii) an amount equivalent to
|
(A)six and one half per centum of the turnover of that person, not being turnover referred to in item (B) of this sub-paragraph , and
|
|
(B)one half per centum of the turnover of that person arising from the import or manufacture of any plant, machinery or equipment, not being any motor car, motor coach or lorry, within the meaning of the Motor Traffic Act (Chapter 203)
|
|
for the second month of that quarter, on or before the fifteenth day of the third month of that quarter , and
|
|
|
(iii) the amount of the levy payable by such person for that quarter, reduced by the aggregate of the amounts paid by him in accordance with the provisions of sub-paragraph (i) and sub-paragraph (ii) of this paragraph, on or before the fifteenth day of the month immediately succeeding the end of that quarter.
|
|
|
|
Banks to collect the levy in advance from importers.
|
5.
|
|
(1) every bank shall
|
(a) at the time at which it opens any letter of credit in any month in any relevant quarter ending on or before December 31. 1984, on an application made in that behalf being made by any person to whom this Act applies, being an importer of any article, collect from such person an amount equal to
|
(i) one per centum of the value of that letter of credit, where such letter of credit is opened prior to August 7, 1992;
|
|
(ii) three per centum of the value of that letter of credit, where such letter of credit is opened on or after January 1, 1994, bat prior to January 1, 1995 and
|
|
|
(iii) three and one-half per centum of the value of that letter of credit, where such letter of credit, is opened on or after January 1, 1994, bat prior to January 1, 1995 ;
|
|
|
|
(b) at the time when one of the documents of payment in respect of an article (not being an article in respect of which a letter of credit has been opened by such bank is presented to it, in any month in any relevant quarter commencing on or after January 1 1994, but prior to January 1, 1995, by any person to whom this Act applies, collect from such person an amount equal to the amount which such bank would have been required to collect in accordance with the preceding provisions of this section, had a letter of credit been opened by it, on the date on which such document is presented to it, in respect of such article, and shall remit the amount so collected to the Commissioner-General on or before the fifteenth day of the month immediately succeeding the month in which the amount was collected, together with a declaration in such form and containing such particulars as may be specified by the Commissioner-General.
|
|
|
|
(2) Every bank which collects any amount in accordance with the provisions of subsection (1), shall make an endorsement on the import invoice relating to the letter of credit or, to the document of payment referred to in paragraph (b) of subsection (1), as the case may be, with reference to which such amount was collected specifying the amount so collected.
|
|
(3) Any amount collected by any bank from any person to whom this Act applies, in accordance with the provisions of subsection (1), shall be deemed to have been paid to the Commissioner-General by such person on the date on which such bank collected such amount, and shall be set off against the levy payable by such person for the relevant quarter in which such, amount was deemed to have been paid by him.
|
|
(4) Notwithstanding anything in any other law, any amount collected by any bank under the preceding provisions of this section and held by such bank for remittance to the Commissioner-General shall be deemed not to be such property of such bank as is liable to execution or administration in the event of the bankruptcy, liquidation or dissolution of such bank or to assignment for the benefit of creditors and such amount shall remain apart from, and form no part of, the estate in bankruptcy, liquidation or assignment of such bank.
|
|
(5) Where any bank fails to collect, from any person to whom this Act applies, any amount required to be collected From such person under this section, or where any bank has collected such amount and has not remitted the amount so collected to the Commissioner-General on or before the fifteenth day of the month immediately succeeding the month in which such amount was collected, such bank shall be liable to the amount it was required to collect under the provisions of this section but has not collected, or as the case may be, for the amount or part thereof collected and not remitted to the Commissioner-General and such amount not collected or collected and not remitted, as the case may be, shall be deemed to be in default from the day following the day on which such amount was required to have been remitted to the Commissioner-General and such bank shall be deemed to be a defaulter, with effect from such date, and such amount may be recovered from such bank in the manner provided in this Act
|
|
Director-General of Customs to collect levy in advance from importers.
|
5A.
|
(1) The Director-General of Customs shall collect from a person to whom this Act applies, being an importer of an article, at the time of the import of such article, an amount calculated at the appropriate rates set out in the Schedule to this Act, on the following: –
|
(a) the value of such article (representing the true cost, insurance and freight value) ascertained for the purposes of customs duty in accordance with the Customs Ordinance ; and
|
|
(b) the amount of customs duty, if any, paid on such article; and
|
|
(c) twenty-live per centum of the amount resulting from the addition of the amounts referred to in paragraphs (a) and (b),
|
|
|
and shall .make an endorsement on the Import invoice relating to such article specifying the amount so collected.
|
|
(2) Any amount collectible under sub section (1) shall, for the purposes of collection and recovery of such amount and not withstanding anything to the contrary in any other provision of this Act, be deemed to be customs duty payable under the Customs Ordinance and accordingly, the provisions of the Customs Ordinance shall apply to the collection and recovery of such amount.
|
|
(3) Any amount collected by the Director-General of Customs from any person to
whom this Act applies in accordance with the provisions of subsection (1), shall be deemed to have been paid to the
Commissioner-General by such person or the date on which such amount was collected by the Director-General of Customs and shall be set off against the levy payable by such person for the relevant quarter in which such amount was deemed to have paid by him.
|
|
(4) Where any article manufactured outside Sri Lanka and imported into Sri Lanka is sold-
|
(a) by the Director-General of Customs for any levy due under the Customs Ordinance ;
|
|
(b) by the Sri Lanka Ports Authority established by the Sri Lanka Ports Authority Act, No. 51 of 1873 for any dues under that Act; or
|
|
(c) by the Commissioner-General,
|
|
|
the purchaser of such article shall be deemed to be a person who imports such article and the provisions of this Act shall apply to him accordingly,
|
|
(5) Where at the time of the import of any article by any importer, the Director-General
of Customs is satisfied that any amount, has been collected from such importer by-
|
(a) the Commissioner-General; or
|
|
(b) any bank in accordance with the provisions of paragraph (a) or paragraph (b) of subsection (1) of section 5,
|
|
|
in respect of such article, the Director-General of Customs shall set-off the amount so collected against the amount collectible under subsection (1).
|
|
Deduction from the levy payable by the manufacturer on imports.
|
6. Where any person to whom this Act applies being a person carrying on the business of manufacturer of any article has paid in any relevant quarter, the levy in respect of any article (other than any plant, machinery or fixture) imported by him, or purchased by him from a registered manufacturer within the meaning of section 46 of the Turnover Tax Act, being in each case an article which is used exclusively in such business of manufacture, he shall be entitled to deduct the amount of the levy so paid from, the levy payable by him, for that quarter, in respect of such business of manufacturer
|
|
Levy in default and penalty added thereto.
|
7.
|
(1) Where the levy payable by a person to whom this Act applies for any relevant quarter is not paid on or before the date specified in section 4, for the payment of that Levy, or part thereof, the amount of the levy or part thereof shall be deemed to be in default with effect from that date and the person by whom such amount is payable, or where such amount is payable by more than one person or by a partnership, then each of such persons and each, partner of the partnership, shall be deemed to be a defaulter for the purposes of this Act, with effect from such date.
|
|
(2) Where any levy or part thereof is in default by reason of the operation of section 5 or this section the defaulter shall, in addition to the levy or part thereof in default, pay as a penalty”
|
(a) a sum equivalent to ten per centum of the levy or part thereof in default, and
|
|
(b) where any levy or part thereof in default is not paid before the fifteenth day of the month succeeding the month in which such levy has begun to be in default, a further sum equivalent to two per centum of the amount in default in respect of each period ending on the fifteenth day of each succeeding month or part of such period during which such amount it is in default:
|
|
|
Provided, however, that the total amount payable as a penalty under this subsection shall in no case exceed fifty per centum of the levy or part thereof in default and any such amount may be waived or reduced if the Commissioner-General is satisfied, that by reason of any special circumstances in which the default occurred, a waiver or reduction of such amount would be just and equitable.
|
|
Certain provisions of the Turn Over Tax Act to apply.
|
8. The provisions of Chapters V, VIII, IX, X, XII and XIVA of the Turnover Tax Act relating to the furnishing of returns, assessment, appeals against assessment, finality of assessment and penalty for incorrect return, recovery, and refund of turnover tax, the provisions of Chapters XI, XIII (other than the provisions of sections 44 and 45) and XVI relating to special cases, miscellaneous matters, and penalties and offences, under the Turnover Tax Act, and the provisions of Chapter XVII relating to the administration of the Turnover Tax Act, shall mutatis mutandis., apply to the furnishing of returns, assessment, appeals against assessment, finality of assessment and penalty for incorrect return, recovery and refund of the levy, and to special cases, miscellaneous matters, penalties and offences under this Act, and to the administration of this Act, subject to the following modifications :
|
(a) The requirement imposed by this Act, on any person to whom this Act applies, to furnish a return of the turnover in respect of which the levy is payable by such person under this Act, for every relevant quarter, shall apply notwithstanding that his turnover for that quarter is less than twenty five thousand rupees;
|
|
(b) Where an Assessor makes an assessment or an additional assessment on any person to whom this Act applies, of the turnover tax payable by such person under the Turnover Tax Act, for any quarter referred to in paragraph (a), the Assessor may, at the same time and in the same form, make an assessment or additional assessment, as the case may be, of the levy payable by such person under this Act, for that quarter. The assessments or the additional assessments, as the case may be, shall be deemed to be separate assessments issued under the respective Acts :
|
|
Provided that an Assessor may, make an assessment or an additional assessment on any person to whom this Act applies, of the levy payable by such person under this Act for any relevant quarter, without at the same time making an assessment or an additional assessment of turnover tax payable, for that quarter, under the Turnover tax Act; and
|
|
(c) Where under Chapter XII of the Turnover Tax Act. a certificate is issued to a Magistrate or a notice, statement or certificate is issued to any person, such notice, statement or certificate, as the case may be. may also include the particulars of the levy, if any, in default under this Act. The notices statements or the certificates shall be deemed to be separate notices, statements or certificates issued under the respective Acts.
|
|
|
Sinhala text to prevail in case of inconsistency.
|
9. In the event of any inconsistency between the Sinhala and Tamil texts of this Act, the Sinhala text shall prevail.
|
|
Interpretation.
|
10. In this Act; unless the context otherwise requires”
|
|
|
‘article,’ ‘ assessor ‘, ‘ business’, ” Commissioner-General”‘ and ” person” and “quarter” shall have the respective meanings assigned to them in the Turnover Tax Act;
|
|
‘ bank ‘ means a licensed commercial bank within the meaning of the Banking Act, No. 30 of 1988;
|
|
” banker’ means any company or body of persons carrying on the business of banking;
|
|
|
“business of providing a service of any description” includes the business of letting premises by a company .
|
|
|
“Central Bank” means the Central Bank establishment by the Monetary Law Act; and
|
|
|
” gem ” means a gem within the meaning of the National Gem and Jewellery Authority Act, No. 30 of 1993 and includes platinum and silver’;
|
|
‘ importer ‘ has the same meaning as in paragraphs (f) and (g) in the definition of
|
|
|
“jewellery ” means jewellery within the meaning of the National Gem and Jewellery Authority Act, No. 50 of 1993 ; and
|
|
“manufacturer” in “the Turnover Tax Act; ‘ manufacturer’ has the same meaning as in paragraphs (a), (b), (c), (d), and (e) of the definition of manufacturer in the Turnover Tax Act;
|
|
|
“plant, machinery or equipment”
|
|
|
” person ” includes a company or body of persons or any Government department but does not include the United Nations Organization or any specialized agency of such Organization or the diplomatic mission of any foreign Government or any member of the diplomatic staff of such mission ;
|
|
|
“turnover” when used in relation to a person to whom this Act applies ”
|
(a) who is not an importer, means the turnover, within the meaning of section 5 of the Turnover Tax Act, of that person; and
|
|
(b) who is an importer, means the aggregate of”
|
(i) the value of any article imported by such person (representing the true cost, insurance and freight value) ascertained for the purposes of customs duty in accordance with the Customs Ordinance;
|
|
(ii) the amount of customs duty, if any, paid on such article; and
|
|
(iii) twenty-five per centum of the amount resulting from the addition of the amounts referred to in sub-paragraphs (i) and (ii);.
|
|
|
|
‘ Turnover Tax Act’ means the Turnover Tax Act, No. 69 of 1981.
|
|
