Speaker of Parliament Jagath Wickramaratne on Wednesday endorsed the certificate on the Inland Revenue (Amendment) Bill, bringing it into force as the Inland Revenue (Amendment) Act, No. 11 of 2026, Newswire reported.

The Act amends the principal Inland Revenue Act, No. 24 of 2017, and was passed by Parliament on May 19. It introduces mandatory Taxpayer Identification Number (TIN) certificates for significant financial transactions, as part of wider reforms to modernise tax administration.

The amendment clarifies a series of provisions in the principal Act, strengthens compliance and enforcement, improves accuracy in tax calculations, supports strategic economic objectives, and enhances transparency and anti-money laundering measures, the report said.

Key changes include revisions to income calculation, clearer rules on exemptions for specific projects and businesses, and an expanded scope for the disclosure of information to relevant authorities.

The Act follows months of parliamentary committee work and a six-month interest waiver attached during the bill’s passage to ease transition for taxpayers. The Inland Revenue Department had earlier flagged risks around false TIN registrations as the mandatory regime came into view, and is expected to issue operational guidance for the new requirements.

With the Speaker’s certification, the TIN-for-significant-transactions provision is now operative under Sri Lankan law.

Update — June 8 (KPMG analysis): A KPMG Sri Lanka analysis carried by Newswire on Monday placed the headline rate changes inside the new Act on record for the first time. The capital gains tax rate for individuals and partnerships rises from 10% to 15% under the amendments, while the rate for trusts, unit trusts, mutual funds and NGOs increases to 30%, KPMG said. The law also makes TIN verification mandatory for activities including opening bank accounts, registering vehicles and obtaining credit cards. The legislation further expands withholding tax requirements, introduces new enforcement powers for tax authorities and provides enhanced capital allowances for qualifying investments. KPMG noted the Act was certified by the Speaker on 3 June and published in the Gazette on 5 June, formally fixing the operative dates of the new regime.

Sources: Newswire — Speaker endorses the Inland Revenue Amendment Bill, The Island — New tax law comes into force and Newswire — What’s in New Tax Amendments? Key Highlights from KPMG.