Srilanka Taxation System Part 01

After the independent days srilanka's formulated one of the administration system its promoted as nation.

Its leads government proveide more service like infrastructure and welfare services so that government expendictures

arised more so government formulated taxation system.

Not only srilanka government impress tax, all over the world the country formulated system like America, British, India

bangaladesh,afirica and not restiction for develop country only tax or developing county only tax but taxation systems to be differ.

Srilanka tax system also changing period to period. Kingdoms period also have taxation systems like

1. Anuradhapura Kingdom

Income producing irrigation units, such as small lakes and canals and field fed by them had to pay tax on water.  Water could be bought and sold.  Owners of tanks (vapi-hamic) had to pay for water came in to the tanks and tanks owners imposed a charge from the users in turn.  The King had the largest share of tanks and he was the prime beneficiary of this levy on water until the beginning of the Seventeenth Century AD.  Levy on water was called ‘diyabedum’ or ‘dakapath’.  It was paid to the king as well as to private owners of small canals and lakes.

In addition to dekapath the king claimed a share of produce from all occupied and cultivated lands.

2.Polonnaruwa Kingdom

During the Polonnaruwa Kingdom, the principal source of kings’ revenue was land tax with tax on paddy.  The tax on the use of water (diyabedum) from irrigation canals was also payable.  There was a tax on external trade, on items such as Gems, Pearls, Cinnamon and Elephants.

These taxes were collected by hierarchy of officials.  Village Headman was primarily entrusted with the collection of taxes due to the king from the respective village.

Taxes were paid partly in grain or other agricultural produce.  The Land tax was charged at one sixth of the produce.  Another notable feature in this period was a growth of market towns linked by trade routes.   Toll and other levies were imposed by the State.  Duties were levied on export and import of commodities.

03 Kandyan Kingdom

The economic base of Kandyan Kingdom was subsidence agriculture in which paddy cultivation was the main feature.  All paddy lands in the kingdom were subject to compulsory service for the King and taxes paid in kind.

Now days many of tax inpressing

 1. Direct Tax

 2. Indirect Tax

Part - 2 Continuies