The government has proposed a change in the method of collecting the Social Security Contribution Levy (SSCL) on vehicles, shifting the point of taxation to the time of import or manufacture and sale, while exempting it at the after-sales stage, President Anura Kumara Dissanayake announced in Parliament.

The President explained that the decision was made after observing irregularities in the collection of the levy during vehicle sales. The new system aims to ensure better tax compliance and administrative efficiency in collecting the levy.

Accordingly, the revised process for charging the Social Security Contribution Levy on vehicles will take effect from April 2026, he stated.