31.
| (1) Subject to the provisions of subsection (4) there shall be deducted, for the purposes of section 30. from the assessable income of a person for any year of assessment in respect of every qualifying payment made by him or deemed to have been made by him in that year of assessment, an allowance equal to the amount of such qualifying payment. |
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| (2) In this section, "qualifying payment" means "
| | (a) a donation made by any person in money to an approved charity ; | | |
| | (b) a donation made in money or otherwise to"
| | | (i) the Government of Sri Lanka : |
| (iii) any Higher Educational Institution established or deemed to be established under the Universities Act. No 16 of 1978 : |
| (iv) the Buddhist and Pali University or any Higher Educational Institution established by or under the Buddhist and Pali University Act No. 74 of 1981 : |
| (v) a fund established by the Government of Sri Lanka. |
| (vi) a fund established by a local authority and approved by the Minister; |
| (vii) the Sevana Fund created and administered by the National Housing Development authority established by the National Housing Development authority Act. No. 17 of 1979: |
| (viii) a kind established by a Provincial Council and approved by the Minister. |
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| | (c) expenditure incurred by any person on any project included in a development plan of the Government of Sri Lanka, if such expenditure was incurred "
| | | (i) with the prior written approval of the Minister; and |
| (ii) in accordance with such terms and conditions as may have been specified by the Minister at the time of granting such approval, such approval being granted, and such terms and conditions being specified, by the Minister, having regard to the development priorities of the Government : |
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| | (d) any amount paid by an individual as a contribution to a provident fund for self employed persons approved by the Commissioner-General for such purpose ; | | |
| | (e) any contribution made by an individual to such provident fund or pension fund as is approved by the Commissioner-General or to a regulated provident fund if the emoluments from which such contributions are made are not exempt from income tax under paragraph (b) of section 9 ; | | |
| | (f) a donation made by any person in money to"
| | | (i) the Industrial Technology Institute established by the Science and Technology Development Act, No. 11 of 1994 ; |
| (ii) the Sri Lanka Foundation established by the Sri Lanka Foundation Law. No. 31 of 1973 : |
| (iii) the Tower Hall Theatre Foundation established by the Tower Hall Theatre Foundation Act. No. 1 of 1978 : |
| (iv) the Sri Lanka Inventors Commission established by the Sri Lanka Inventors Incentives Act. No.53 of 1979. |
| (v) the S.W.K.D. Bandaranaike National Memorial Foundation established by the S.W.R.D Bandaranaike National Memorial Foundation Law. No. 2 of 1975 |
| (vi) the Institute of Fundamental Studies. Sri Lanka. established by the Institute of Fundamental Studies. Sri Lanka. Act. No. 55 of 1981 : |
| (vii) the International Winged Bean (Dambala) Institute, established by the International Winged Bean (Dambala) Institute Act. No. 7 of 1982: |
| (viii) the Sri Lanka Institute of Printing, established by the Sri Lanka Institute of Printing Act. No. 18 of 1984 : |
| (ix) the Arthur C. Clarke Institute for Modern Technologies established by the Science and Technology Development Act. No. 11 of 1994 : |
| (x) the Institute of Policy Studies of Sri Lanka Established by the Institute of Policy Studies of Sri Lanka Act. No. 53 of 1988 : |
| (xi) the J. R. Jayewardene Centre established by the J. R. Javawardena Centre Act, No. 77 of 1988 : |
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| | (g) any premia in am year of assessment, being premia which have cured due for payment;
| | | (i) on a life insurance policy (not being a pure endowment policy) the premia in respect of which are payable annually over a period of not less than three years ; |
| (ii) on a policy of medical insurance. |
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| | (h) expenditure incurred by any person in the production, at a cost not less than five million rupees, of any film, the production of which commences on or after January 1. 2000 ; | | |
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| (3) Where the total statutory income of any child for any year of assessment is aggregated with, and deemed to be a part of. the total statutory income of his parent for that year of assessment, any qualifying payment made by that child in that year of assessment shall be deemed to be a qualifying payment made by such parent. |
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| (4) The deduction from the assessable income of any-
| | (a) person, other than a company for any year of assessment"
| | | (i) in respect of all qualifying payments other than those referred to in paragraphs (b). (c). (g) and (h) of subsection (2). made by him or deemed to have been made by him in that year of assessment shall not exceed one third of such assessable income or twenty five thousand rupees which ever is less : |
| (ii) in respect of all qualifying payments referred to in paragraph (c) of subsection (2). made by him or deemed to have been made by him in that year of assessment shall not exceed twenty five thousand rupees ; |
| (iii) in respect of all qualifying payments referred to in paragraph (g) of subsection (2). made by him or deemed to have been made by him in that year of assessment shall not exceed one-third of such assessable income or twenty five thousand rupees ; whichever is less ; |
| (iv) in respect of any qualifying payment referred to in paragraph (h) subsection (2). deemed to have been made by him in that year of assessment shall not exceed ten minion rupees ; |
| (v) in respect of the aggregate of all qualifying payments referred to in paragraphs (i) and (ii) of this paragraph shall not exceed twenty five thousand rupees. |
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| | (b) a company for any year of assessment-
| | | (i) in respect of all qualifying payments other than those referred to in paragraphs (b) and (h) of subsection (2) made by that company or deemed to have been made by that company in that year of assessment shall not exceed one-fifth of such assessable income ; |
| (ii) in respect of any qualifying payment referred to in paragraph (h) of subsection (2) deemed to have been made by that company in that year of assessment shall not exceed ten million rupees. |
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| (5) The amount of any qualifying payment referred to in paragraph (h) or paragraph (e) of subsection (2). made or deemed to have been made by any person in any year of assessment and which cannot be deducted from his assessable income for that year of assessment shall be deducted from his assessable income for the next succeeding year of assessment, and so on. |
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| (6) The excess of the allowance in respect of any qualifying payment referred to in paragraph (h) of subsection (2) deemed to have been made in any year of assessment, by any person, shall be deducted, to the extent it can be so deducted, from the assessable income of that person for the year of assessment immediately succeeding that year of assessment (hereinafter referred to as "the first succeeding year of assessment") any residue of such excess shall be deducted from the assessable income of the year of assessment immediately succeeding the first succeeding year of assessment. |
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| (7) For the purposes of this section "
| | (a) an "'approved charity" means an approved charity within the meaning of section 16Aof the Inland Revenue Act. No. 4 of 1963. or under paragraph (a) of subsection 9 of section 31 of the Inland Revenue Act No. 28 of 1979 or any such public charitable trust or institution as is declared by the Minister by notice published in the Gazette to be an approved charity for the purposes of this section ; | | |
| | (b) the amount of a donation made to the Government otherwise than in money shall be the value of such donation and such value shall "
| | | (i) be the cost incurred during that year of assessment by the donor of the property donated ; or |
| (ii) where the cost incurred by the donor during that year of assessment cannot be ascertained or where no cost was incurred in that year of assessment, be the market value of the property donated at the time of such donation. |
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Sri Lanka Consolidated Acts