Business Tax Calculator Sri Lanka

Business Tax Calculator Sri Lanka

Estimate income tax for a Sri Lankan business. Choose whether your business income goes under your personal tax file, or whether it belongs to a separate Pvt Ltd / Ltd / PLC company.

Enter your business income details

Enter annual business income, expenses, business type, and any tax already paid. Then calculate the estimated tax.

Choose Individual / BR if the income goes under your personal tax file. Choose Pvt Ltd / Ltd / PLC only if the business is a separate company registered with ROC and taxed separately.
Enter total business income before deducting expenses.
Enter business expenses you expect to deduct.
Only used for Individual / BR. Add salary, rent, bank interest, or other personal income.
Only used if you choose Other Special Rate. Use this only if you already know the company’s special tax rate.
Optional. Add quarterly payments, tax credits, or tax already deducted.
Business Sales / Income LKR 0
Business Expenses Deducted LKR 0
Net Business Profit LKR 0
Other Personal Income Used LKR 0
Personal Relief / Company Rate –
Taxable Amount LKR 0
Estimated Annual Tax LKR 0
Tax Already Paid LKR 0
Estimated Balance / Credit LKR 0
Quarterly Payment Estimate LKR 0
Effective Tax Rate 0.00%
Enter your business details and click Calculate.
This calculator estimates income tax only. It does not calculate VAT, SSCL, PAYE/APIT, EPF/ETF, stamp duty, registration fees, or other business compliance costs.

Calculation breakdown

This table updates after you click Calculate.

Calculation step Formula / basis Estimated amount
Business type Selected by user –
Business sales / income Annual amount entered LKR 0
Allowable expenses Annual amount entered LKR 0
Net business profit Business income minus expenses LKR 0
Other personal income Used only for Individual / BR estimate LKR 0
Personal relief / company rate – –
Taxable amount – LKR 0
Estimated annual tax – LKR 0
Tax already paid Amount entered by user LKR 0
Balance / credit estimate Estimated annual tax minus tax already paid LKR 0

Understanding business tax

BR / sole proprietor vs Pvt Ltd company

A Business Registration, sole proprietorship, freelancer activity, or business name is usually not taxed as a separate company. The profit normally goes under the owner’s personal tax file.

A Pvt Ltd, Ltd, or PLC company is a separate legal company registered with ROC. The company usually pays company income tax separately from the owner’s personal income tax.

What should a business owner enter?

Enter total annual business income, then deduct allowable business expenses. The remaining amount is the estimated net business profit before tax.

Why does other personal income matter?

For Individual / BR businesses, business profit can combine with salary, rent, bank interest, and other personal income. This matters because personal income tax uses progressive slabs.

Formula used

  1. Net Business Profit = Business Sales / Income minus Allowable Expenses
  2. Individual / BR Taxable Income = Net Business Profit + Other Personal Income minus Personal Relief
  3. Individual / BR Tax = Tax calculated using progressive personal income tax slabs
  4. Pvt Ltd / Ltd / PLC Tax = Net Business Profit multiplied by selected company tax rate
  5. Balance / Credit = Estimated Annual Tax minus Tax Already Paid
  6. Quarterly Estimate = Estimated Annual Tax divided by 4
This calculator is for educational estimates only. It does not replace IRD guidance, company tax filing, individual tax filing, accounting advice, legal advice, or professional tax advice.
Source note: This calculator uses the 2025/2026 individual personal relief and progressive tax slab structure, plus company tax rate categories published by the Inland Revenue Department of Sri Lanka.