Sri Lanka Salary & APIT Tax Calculator
Calculate your exact monthly take-home salary, Advance Personal Income Tax (APIT), statutory Employee EPF (8%), Employer EPF (12%), and Employer ETF (3%) under the newly enacted Rs. 150,000 monthly tax-free relief threshold and official IRD Table 01 progressive tax slabs.
Calculate Take-Home Pay, APIT Tax & EPF/ETF
How Your Salary is Taxed Across Progressive Slabs
Monthly Remittance Voucher
Private / Corporate Employment Sector
Total Cost to Company (CTC)
What your employer officially spends to employ you each month
Monthly Retirement Fund Contributions (23%)
Combined mandatory savings deposited to CBSL EPF & ETF Board
Official IRD APIT Table No. 01 Schedule (Inland Revenue Act No. 2 of 2025)
Official monthly tax deduction schedule for resident and citizen primary employment income
| Monthly Income Bracket (LKR) | Tax Rate | Tax on This Slab | Max Cumulative Tax | Legal Reference |
|---|---|---|---|---|
| Up to Rs. 150,000.00 | 0% | Rs. 0.00 | Rs. 0.00 | Personal Relief (Sec. 52) |
| Rs. 150,000.01 – Rs. 233,333.33 | 6% | Up to Rs. 5,000.00 | Rs. 5,000.00 | First Slab (Rs. 83,333) |
| Rs. 233,333.34 – Rs. 275,000.00 | 18% | Up to Rs. 7,500.00 | Rs. 12,500.00 | Second Slab (Rs. 41,667) |
| Rs. 275,000.01 – Rs. 316,666.67 | 24% | Up to Rs. 10,000.00 | Rs. 22,500.00 | Third Slab (Rs. 41,667) |
| Rs. 316,666.68 – Rs. 358,333.33 | 30% | Up to Rs. 12,500.00 | Rs. 35,000.00 | Fourth Slab (Rs. 41,667) |
| Exceeding Rs. 358,333.33 | 36% | 36% on excess | Rs. 35,000 + 36% | Top Marginal Bracket |
Official IRD APIT Table No. 01 Schedule
| Bracket / Slab | Monthly Gross Range | Slab Slice | Tax Rate | Max Slab Tax | Cumulative APIT |
|---|---|---|---|---|---|
| Personal Relief | Up to Rs. 150,000.00 | Rs. 150,000.00 | 0% | Rs. 0 | Rs. 0 |
| Slab 01 | Rs. 150,000.01 – 233,333.33 | Rs. 83,333.33 | 6% | Rs. 5,000.00 | Rs. 5,000.00 |
| Slab 02 | Rs. 233,333.34 – 275,000.00 | Rs. 41,666.67 | 18% | Rs. 7,500.00 | Rs. 12,500.00 |
| Slab 03 | Rs. 275,000.01 – 316,666.67 | Rs. 41,666.67 | 24% | Rs. 10,000.00 | Rs. 22,500.00 |
| Slab 04 | Rs. 316,666.68 – 358,333.33 | Rs. 41,666.67 | 30% | Rs. 12,500.00 | Rs. 35,000.00 |
| Slab 05 | Above Rs. 358,333.33 | Remaining Balance | 36% | 36% on excess | Rs. 35,000 + 36% |
Note on 12% Slab Repeal: Under the Inland Revenue (Amendment) Act No. 2 of 2025, the previous 12% slab was formally repealed. The 6% slab was widened to cover the first Rs. 83,333.33 of taxable earnings (equal to the previous 6% and 12% slices combined), after which the rate transitions directly to 18%.
EPF & ETF Rules: Employee EPF (8%) is deducted exclusively from Basic Salary. The employer makes a non-deducted statutory contribution of 12% to the Employees' Provident Fund (EPF) and 3% to the Employees' Trust Fund (ETF), totaling 23% in monthly sovereign retirement fund deposits.
Frequently Asked Questions on Sri Lanka Salary Tax
Q1.What is the tax-free personal relief threshold for salary income in Sri Lanka?
Under the Inland Revenue (Amendment) Act No. 2 of 2025 (effective April 1, 2025 for Years of Assessment 2025/2026 and 2026/2027), the tax-free personal relief for employment income is Rs. 1,800,000 per annum, which equals Rs. 150,000 per month. Any individual earning up to Rs. 150,000 in monthly gross regular employment profits pays zero (0%) Advance Personal Income Tax (APIT).
Q2.What are the official APIT tax slabs and rates under the 2025 Amendment Act?
After deducting the monthly relief of Rs. 150,000, taxable monthly profits from employment are taxed as follows: First Rs. 83,333.33 (Gross Rs. 150,000 to Rs. 233,333.33) at 6%; Next Rs. 41,666.67 (Gross Rs. 233,333.34 to Rs. 275,000.00) at 18% (the former 12% slab was repealed); Next Rs. 41,666.67 (Gross Rs. 275,000.01 to Rs. 316,666.67) at 24%; Next Rs. 41,666.67 (Gross Rs. 316,666.68 to Rs. 358,333.33) at 30%; and any balance exceeding Rs. 358,333.33 per month at the maximum marginal rate of 36%.
Q3.How does the 2025/2026 tax regime compare with the previous 2023/2024 regime?
Under the previous 2023/2024 law, the tax-free threshold was only Rs. 100,000 per month with 6 equal slabs of Rs. 41,666.67 at 6%, 12%, 18%, 24%, 30%, and 36%. The 2025 Amendment raised the tax-free threshold by 50% to Rs. 150,000 and widened the 6% bracket to Rs. 83,333.33 while abolishing the 12% bracket. As a result, middle and upper-income professionals save between Rs. 1,500 and Rs. 18,000+ every single month in APIT deductions.
Q4.How are EPF and ETF calculated on my salary in Sri Lanka?
Statutory retirement funds are governed by the Employees' Provident Fund (EPF) Act No. 15 of 1958 and Employees' Trust Fund (ETF) Act No. 46 of 1980. The employee contributes 8% of Basic Salary (deducted from gross pay). The employer contributes an additional 12% of Basic Salary to EPF and 3% to ETF. Together, 23% of your basic salary is deposited every month into your retirement security portfolio, with 15% fully funded by your employer.
Q5.Is EPF deducted before or after APIT tax is calculated?
In Sri Lanka, APIT tax is calculated on your total Gross Regular Profits from employment (inclusive of basic and allowances, excluding specific statutory exempt items). Employee EPF (8%) is deducted from your gross pay to determine your Net In-Hand Take-Home Salary: Net Salary = Gross Salary - Employee EPF (8%) - Monthly APIT Tax.
Q6.What is Cost to Company (CTC) and how is it calculated?
Cost to Company (CTC) is the total financial expenditure an employer incurs to retain an employee. It includes Gross Salary plus Employer EPF (12%) and Employer ETF (3%). If your basic salary equals gross salary, your employer pays an extra 15% above your gross earnings into your sovereign retirement funds.
Q7.Who is legally responsible for deducting and remitting APIT?
Under Chapter VIII of the Inland Revenue Act No. 24 of 2017, the primary employer is legally mandated to withhold APIT from qualifying employees each month using the official IRD withholding tax tables (Table 01 for primary employment) and remit it directly to the Commissioner General of Inland Revenue by the 15th of the following month.
Official Sri Lanka Government Gazette & IRD Portal
Cross-verify your personal income tax status directly with the Inland Revenue Department of Sri Lanka.