Key measures include:
Value Added Tax (VAT) on Gems: An order under Section 6 of the VAT Act No. 14 of 2002 (Extraordinary Gazette No. 2461/43, dated 07.11.2025) allows VAT on genuine and semi-genuine gemstones to be calculated based on weight.
New Customs Codes for Gems: A Revenue Security Order No. 04/2025 under the Revenue Security Act No. 19 of 1962 (Extraordinary Gazette No. 2461/40, dated 07.11.2025) introduces national sub-division customs codes for genuine and semi-genuine gemstones, aligning with the weight-based VAT system.
Ports and Airport Development Tax Continuation: An order under Section 3 of the Ports and Airport Development Tax Act No. 18 of 2011 (Extraordinary Gazette No. 2461/44, dated 07.11.2025) ensures the continued application of the new customs codes for release from ports and airports.
Officials said these measures are designed to modernize taxation and customs procedures, streamline gem imports, and strengthen Sri Lanka’s position as a global hub for gemstones.
