32.
| (1) Subject as hereinafter provided, income tax shall be charged for each year of assessment on the taxable income for that year of assessment of any person "
| | (a) if he is an individual other than a receiver, trustee. executor or liquidator acting in such capacity in respect of any year of assessment at the appropriate rates specified in Part I of the First Schedule to this Act ; | | |
| | (b) if he is an individual who is not a citizen of Sri Lanka and is deemed by subsection (7) of section 73. to be non-resident, at the rate specified in Part II of the First Schedule to this Act; or | | |
| | (c) if such person is a person other than a company or an individual to whom paragraph (a) applies, in respect of any year of assessment at the appropriate rates specified in the Third Schedule to this Act : | | |
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| (2) Where inconsequence of the inclusion in the statutory income of an individual for any year of assessment of"
| | (a) a sum received in commutation of a pension ; or | | |
| | (b) a sum received as a retiring gratuity other than such part of such sum as exceeds" | | |
| | (c) any sum received as compensation for loss of office or employment: or | | |
| | (d) a sum paid to him, at the time of his retirement from any employment, or at any subsequent time, from a provident fund approved by the Commissioner- General other than such part of that sum as represents his contributions to that provident fund; or | | |
| | (e) any sum paid from a regulated provident fund to an employee (other than such part of that sum as represents the contributions made by the employer to that fund prior to April 1. 1968. and the interest which accrued on such contributions made by the employer if. in respect of such contributions made by the employer and the interest which accrued on such contributions made by the employer, tax at the rate of fifteen per centum has paid by the employer;: or | | |
| | (f) any sum paid to him at the time of his retirement from any employment, from the Employees' Trust Fund, established by the Employees' Trust Fund Act No. 46 of 1980; | | |
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| (3) Where the taxable income of a person includes any capital gain not being a capital gain from the change of ownership of any property and the rate of income tax payable on such part of such income (hereinafter in this subsection referred to as the "relevant part of the income") exceeds twenty-five per centum, then, in regard to the relevant part of the income, the tax shall be computed as follows :"
| | (a) if the relevant part of the income exceeds the amount of such capital gains "
| | | (i) the tax payable on such part of the relevant part of the income as is equal to the amount of such capital gain shall be at the rate of twenty-five per centum : and |
| (ii) the tax payable on the balance of the relevant part of the income shall be computed according to such of the rates of above twenty per centum as are applicable thereto under this Act: and |
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| | (b) if the relevant part of the income does not exceed the amount of the net capital gain, the tax payable on the income shall be twenty- five per centum notwithstanding anything to the contrary in this Act. | | |
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| (4) Where the taxable income of a person includes any capital gain from the change of ownership of any property, more than two years but not more than five years after the date of acquisition of such property by such person, and the rate of income tax payable on a part of such income ( hereinafter in this subsection referred to as the "relevant part of the income") exceeds twenty-five per centum, then, in regard to the relevant part of the income, the tax shall be computed as follows ;"
| | (a) if the relevant part of the income exceeds the amount of such capital gain "
| | | (i) the tax payable on such part of the relevant part of the income as is equal to the amount of such capital gain shall be at the rate of twenty-five per centum : and |
| (ii) the tax payable on the balance of the relevant part of the income shall be computed according to such of the rates above twenty-live per centum as are applicable thereto under this Act: and |
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| | (b) it the relevant part of the income does not exceed the amount of the net capital gain the tax payable on the entirety of the relevant part of the income shall be twenty-five per centum notwithstanding anything to the contrary in this Act. | | |
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| (5) Where the taxable income of a person includes any-capital gain, arising from the change of ownership of any property, within such period after the date of acquisition of that property by that person as is referred to in Column I hereto. the provisions of subsection (4) shall apply to the computation of income tax on such capital gain, as if for the reference to "twenty-five per centum" in that subsection, there were substituted the references specified in the corresponding entry in Column II hereto. |
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| (6) Where the taxable income of any person includes am capital gain arising from the change of ownership of am immovable properly acquired by that person by way of gift or inheritance from any other person, the date of acquisition of such property by the first-mentioned person shall, for the purposes of subsection (4) or subsection (5) of this section or of subparagraph (xvi) of paragraph (a) of subsection (1 ) of section 14, be deemed to be the date of acquisition of such property by the second-mentioned person. |
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| (7) Where any charitable institution provides in any year of assessment institutionalised care for the sick or the needy and where the Commissioner-General is satisfied that the cost of provision of such care is borne by such charitable institution, the Commissioner-General may. subject to such condition as he may specify, reduce or remit the tax payable by such charitable institution in respect of its profits and income for such year of assessment, if it appears to the Commissioner-General that such reduction or remission is just and equitable in all the circumstances of the case. |
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Sri Lanka Consolidated Acts