Sri Lanka APIT Tax Table 2025/2026 - Rates and Slabs
Sri Lanka's 2025/2026 APIT Table 01 for regular employment income, with monthly formulas, worked salary examples, EPF treatment, and take-home pay.
Sri Lanka APIT Tax Table 2025/2026
Sri Lanka employers use Advance Personal Income Tax (APIT) tables to deduct tax from employment income. People still commonly search for this as PAYE, but the current Inland Revenue Department material calls it APIT.
For regular primary employment income, IRD Table 01 provides direct monthly formulas. The table already reflects monthly personal relief, so you apply the formula to regular employment income without first subtracting the employee's EPF contribution.
| Monthly regular employment income | APIT deduction from Table 01 |
|---|---|
| Up to Rs. 150,000 | No APIT |
| Rs. 150,001 to Rs. 233,333 | 6% of income minus Rs. 9,000 |
| Rs. 233,334 to Rs. 275,000 | 18% of income minus Rs. 37,000 |
| Rs. 275,001 to Rs. 316,667 | 24% of income minus Rs. 53,500 |
| Rs. 316,668 to Rs. 358,333 | 30% of income minus Rs. 72,500 |
| Above Rs. 358,333 | 36% of income minus Rs. 94,000 |
These formulas apply to a full month and regular primary-employment profits. IRD publishes separate tables for lump sums, terminal benefits, secondary employment, non-residents, and other cases.
What Counts as Regular Employment Income?
IRD Table 01 describes regular employment profits broadly. Salary and wages can be joined by regular commission, overtime, travelling allowances, other allowances, and non-cash benefits that are taxable under the employment-income rules.
That means entering only basic salary can understate APIT when regular taxable allowances or benefits are omitted. Payroll should identify which benefits are taxable and which earnings are eligible for EPF separately.
Worked Monthly APIT Examples
The following examples use the direct Table 01 monthly formulas.
| Gross regular income | Calculation | Monthly APIT |
|---|---|---|
| Rs. 150,000 | At the monthly threshold | Rs. 0 |
| Rs. 200,000 | 200,000 x 6% - 9,000 | Rs. 3,000 |
| Rs. 250,000 | 250,000 x 18% - 37,000 | Rs. 8,000 |
| Rs. 500,000 | 500,000 x 36% - 94,000 | Rs. 86,000 |
| Rs. 1,000,000 | 1,000,000 x 36% - 94,000 | Rs. 266,000 |
Example with salary, allowance, EPF, and take-home pay
Assume monthly basic salary is Rs. 1,000,000 and regular allowances are Rs. 50,000.
- Gross regular employment income is Rs. 1,050,000.
- APIT is Rs. 1,050,000 x 36% - Rs. 94,000 = Rs. 284,000.
- Estimated employee EPF at 8% of the entered basic salary is Rs. 80,000.
- Estimated take-home pay before any other deductions is Rs. 1,050,000 - Rs. 284,000 - Rs. 80,000 = Rs. 686,000.
The key point is sequence: EPF affects take-home pay but is not subtracted before Table 01 APIT is calculated.
APIT, PAYE, and the Annual Tax Return
APIT is tax collected in advance through payroll. The amount withheld is not a replacement for every annual filing or final-liability obligation that may apply to an individual. Other income, reliefs, credits, multiple employments, and year-end adjustments can affect the final position.
Use the APIT Tax Calculator Sri Lanka for regular monthly employment income. Compare the estimate with the employer's payslip calculation and the relevant IRD table.
Bonuses, Lump Sums, and Terminal Benefits
Do not put every employment payment into Table 01:
- Table 02 deals with qualifying lump-sum payments.
- Table 03 deals with specified terminal benefits and contains separate exemptions and withholding rules.
- Other APIT tables cover secondary employment and special taxpayer circumstances.
The payment's legal character matters. A recurring allowance and a one-off bonus can require different payroll treatment even when the cash amount is identical.
Official Sources
Tax disclaimer: This article and calculator provide an educational estimate for regular primary-employment income. They are not tax, payroll, legal, or accounting advice. Secondary employment, non-cash benefits, exemptions, lump sums, terminal benefits, and final annual liability can require different treatment. Confirm material decisions with IRD, your payroll team, or a qualified tax professional.