The Inland Revenue Department has reported that Sri Lanka’s domestic tax revenue has increased significantly this year. The total tax revenue collected in the first nine months of 2026 is reported to have crossed Rs 2 trillion.
According to the information of the Inland Revenue Department, a total income of 2,040 billion rupees has been collected during the period from January 1 to September 30, 2026.
This amount is a significant increase compared to the same period in 2025. 1,642 billion rupees had been collected in the nine months from January to September 2025.
According to this, an excess of 398 billion rupees in tax revenue has been collected within a period of one year. This increase shows that tax collection continues to be a major contributor to the country’s government revenue.
288 billion rupees revenue in September alone
In the month of September 2026 alone, the Inland Revenue Department has collected an income of 288 billion rupees.
While last year’s September collection was only Rs 216 billion, this year the revenue was Rs 72 billion more in the same month.
This increase in a single month also contributed significantly to the overall tax revenue growth. Many factors such as the number of taxpayers, tax payment practices and the activities of the tax administration can affect revenue collection.
According to the Inland Revenue Department, one of the reasons for this rise in revenue is the increased willingness of taxpayers to voluntarily pay their taxes.
Also, the department pointed out that the measures taken in the tax administration and its operational efficiency have also contributed to the increase in tax collection.
Various measures have been taken in the past to simplify tax collection systems and improve services related to taxpayers. Due to technology-based procedures including e-commerce services, there has also been an opportunity for people to carry out some tax-related tasks without going directly to the offices.
At the same time, timely fulfillment of tax obligations by individuals and corporations is critical to maintaining stable government revenues.
85 percent of the 2026 target has been achieved
The Inland Revenue Department has set a revenue target of Rs 2,401 billion for the year 2026.
As of September 30, 85 percent of this annual target has already been achieved. With Rs 2,040 billion collected in the nine months from January to September, it remains to be seen whether the tax revenue will increase further in the rest of the year.
Tax revenue plays an important role in managing the government expenditure of the country and in carrying out government services. Tax revenue plays a significant role in obtaining the necessary financial resources for various government programs and public services.
However, this increase in tax revenue is seen as a noticeable change in the government’s financial management. However, high tax revenue is not the only criterion to fully assess the economic condition of the country. The overall financial situation of the country should be assessed by taking into account various factors like government expenditure, debt level, economic growth and income level of the people.
Meanwhile, changes in tax payment practices among the population may also affect future tax revenues. It is necessary for taxpayers to properly fulfill their tax-related responsibilities and for government agencies to conduct tax administration transparently and efficiently.
With tax revenue of Rs 2,040 billion collected in the first nine months of 2026, the extent to which the total revenue of the Inland Revenue Department will go by the end of the year has attracted attention in economic circles and among the public.