20.
| (1) There shall be exempt from income tax -
| | (a) for a period of eight years reckoned from the date of incorporation of any company, in the case of a company incorporated on or after April 1, 1972, and approved by the Minister under section 7A of the Inland Revenue Act, No. 4 of 1963, prior to November 15, 1978 ; and | | |
| | (b) for a period of five years reckoned from the date on which the company made its first exports or from the date on which it commenced to provide services for payment in foreign exchange in the case of a company incorporated, on or after April 1, 1972, for the manufacture of any commodities or for the provision of services for payment in foreign exchange, and approved by the Minister after November 15, 1978, | | |
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| (2) For the purposes of this section-
(c) " total turnover " when used in relation to a company or undertaking means the total amount received or receivable by the company or undertaking from any trade or business carried on or exercised by that company or undertaking, excluding -
| | (a) "export profits and income ", when used in relation to a company or an undertaking, means the sum which bears to the profits and income (within the meaning of paragraph (a) of section 3 after excluding any profits and income from the sale of gems) of the company or undertaking, ascertained in accordance with the provisions of this Act, the same proportion as the export turnover of that company or undertaking bears to the total turnover of that company or undertaking ; | | |
| | (b) "export turnover" when used in relation to a company or undertaking means the total amount received or receivable by that company or under- taking from the export of goods or commodities, or from the provision of services for payment in foreign currency, excluding -
| | | (i) any amount received or receivable by the sale of capital assets ; |
| (ii) any amount received or receivable from the sale of gems ; |
| (iii) any amount received or receivable from the export of black tea in bulk, crepe rubber, sheet rubber, scrap rubber, coconut oil, desiccated coconut, copra, fresh coconuts, coconut fibre or such other commodity as may be specified by the Minister by Order published in the Gazette, having regard to the need for providing incentives for the promotion of the export of such commodity ; and |
| (iv) any profits and income not being profits and income within the meaning of paragraph (a) of section 3 ; |
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| | (i) any amount received or receivable by the sale of capital assets ; | | |
| | (ii) any amount received or receivable from the sale of gems ; | | |
| | (iii) any profits and income other than profits and income within the meaning of paragraph (a) of section 3. | | |
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Sri Lanka Consolidated Acts