6. Section 42 of the principal enactment is hereby amended as follows: -
| (1) by the repeal of subsection (2) of; that section and the substitution therefor of the following new subsection:
| | '(2) For every year of assessment (here-after- in this subsection referred to as the " relevant year of assessment "), commencing on, or after April 1, 1963, but not later than April 1,1973, the value of the taxable gifts made in the year preceding the relevant year of assessment by any person liable to the gifts tax shall be added to the value of the taxable gifts made by him on or after July 18., 1958, and before such preceding year. Then, assuming that the sum resulting from such addition Is the value - of the* taxable gifts in respect of which gifts tax is chargeable, the amount of such tax shall be computed by the application of the appropriate rates of gifts tax. From the amount so computed . there shall be deducted all sums paid by him previously, whether by way of contributions in respect of taxable gifts to the Personal, . Tax levied under the Personal Tax Act, No. 14 of 1959 or as gifts tax under this Act. The amount "left after such deduction shall be the amount of the gifts tax In respect of his taxable gifts for the relevant year of assessment and | | |
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| (2) by the Insertion, Immediately after subsection (2) of that section,, of the following new subsection- .
| | (2A) For every year of assessment commencing on or after April 1,. 1974, the gifts tax payable by any person In respect of his taxable gifts shall be the difference between-
| | | (a) the amount computed at such rates of gifts tax specified in the Sixth Schedule to this Act - as are applicable to the taxable gifts made In the year preceding that 'year of assessment (hereafter In this subsection referred to as " the preceding year ") on the aggregate of the values of all taxable gifts within the meaning of this Act or of the Personal Tax Act, No. 14.of 1959, made by such person on or after 18th July, 1958, and before the end of the preceding year; and |
| (b) the amount computed at such rates of. gifts tax specified In the Sixth Schedule to this Act as are applicable to the taxable gifts made in the preceding year on the aggregate of the value of the taxable gifts, within the meaning of this Act or of the Personal Tax Act, No. 14 of 1959, made by such person on or after 18th July, 1958, and before the commencement of the preceding year." |
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Sri Lanka Consolidated Acts