A logistics center situated in Colombo Port, operated collaboratively by China's CM Ports, Sri Lanka Ports Authority, and Access Engineering, is set to receive a notable 15-year tax holiday, as per a gazette notice.
The tax incentives extend beyond the corporate realm, as the initiative will lead to complete income tax exemption for thirty expatriates associated with the project. This marks a significant boost for foreign professionals engaged in the venture.
The corporate income tax exemption is structured to commence from the initial year that the project company generates taxable profits or within two years of the commencement of commercial operations, whichever occurs first. This strategic approach aims to foster a conducive environment for the project's financial growth.
Furthermore, dividends arising from the project will enjoy a tax-free status for an extensive period of 16 years. This multifaceted tax relief initiative is anticipated to stimulate economic activities, enhance investment attractiveness, and fortify the collaborative efforts between the involved entities.
As the logistics center takes shape in Colombo Port, this tax holiday signifies a substantial stride towards fostering economic synergy and facilitating the seamless operation of this joint venture. Stay tuned for updates on this noteworthy development in Sri Lanka's economic landscape.
