TEA (TAX AND CONTROL OF EXPORT) ACT

Arrangement of Sections

1. Short title.

2. Tax on tea which is sold at a Colombo tea auction and on tea exported from Sri Lanka and sold at a foreign tea auction.

3. Person liable to pay the tax on tea sold at a Colombo tea auction.

4. Person liable to pay the tax on tea sold at a foreign tea auction and manner of payment.

5. Tax on tea produced in Sri Lanka and exported from Sri Lanka by the English and Scottish Joint Co-operative Wholesale Society Ltd and on any other tea so exported except tea to which section 2 applies.

6. Power to vary the rate of tax imposed under this Act and its method of calculation or to abolish such tax.

7. Export of tea under the authority of a permit.

8. Conditions to be fulfilled before the issue of permits, the grounds for suspension or revocation of permits.

9. Appeal from decision, declaration or determination of the Commissioner.

10. Time within which tea sold at a Colombo tea auction shall be exported.

11. Prohibition on export or attempt to export tea of a quality different from that described in the permit.

12. Information to be given to the Commissioner by-owners of tea sold at a Colombo tea auction or a foreign tea auction and by exporters of tea.

13. Repealed.

14. Power of Commissioner and other officers to inspect premises.

14A. Foreign tea auction to be prescribed.

15. Regulations.

16. Offences.

17. Offences by bodies of persons.

18. No prosecution without the sanction of the Commissioner.

19. Compounding of offences.

20. Delegation of powers and duties of the Commissioner.

21. Suspension of certain provisions of the Tea Control Act.

22. Interpretation.

14 of 1975,

16 of 1959,

4 of 1967,

10 of 1983,

51 of 1985.

AN ACT to impose a Tax on Tea sold at a Colombo Tea Auction or exported from Sri Lanka, to control the export of tea, to suspend certain provisions of the Tea Control Act, and to provide for matters connected with or incidental to the aforesaid matters.

[Date of Commencement: 1st June, 1959]

1. Short title.

This Act may be cited as the Tea (Tax and Control of Export) Act.

2. Tax on tea which is sold at a Colombo tea auction and on tea exported from Sri Lanka and sold at a foreign tea auction.

(1) Where any tea—

(a) is sold at a Colombo tea auction; or

(b) is exported from Sri Lanka and sold at a foreign tea auction,

at a price which is or which when expressed in terms of Sri Lanka currency and after the deductions specified in subsection (3) are made therefrom, is in excess of a price to be determined by the Minister, by Order published in the Gazette1, having regard to the current prices at which tea is sold at Colombo tea auctions there shall be charged, levied and paid in respect of each kilogram of the tea so sold a tax at such rate as shall be determined by the Minister by Order published in the Gazette:

Provided that where the tax which, but for this proviso, would be payable under the preceding, provisions of this subjection on any tea in respect of its first resale at a Colombo tea auction is in excess of the tax under those provisions on that tea in respect of its sale at such an auctions before such first resale where shall in lieu of the tax tinder those provisions be charged, levied and paid on that tea in respect of such first resale a tax equal to the amount of such excess.

[S 2(1) subs by sch of Act 10 of 1983.]

(2) For the purposes of expressing in terms of Sri Lanka currency the price at which a kilogram of tea exported from Sri Lanka for sale at a foreign tea auction was sold on any day at such an auction, the rate of exchange shall be the rate of exchange specified under section 17 of the Customs Ordinance and in force on that day.

[S 2(2) subs by sch of Act 10 of 1983.]

(3) The deductions which, for the purpose of subsection (1), shall be made from the price at which a kilogram of tea exported from Sri Lanka for sale at a foreign tea auction, is sold at such an auction shall be—

(a) the export duty and any excess paid in Sri Lanka on that kilogram of tea; and

(b) the amount fixed by the Minister by Order published in the Gazette in respect of a kilogram of tea exported from Sri Lanka for sale at such a foreign tea auction, to cover the cost of freight, insurance and "handling”.

[S 2(3) subs by sch of Act 10 of 1983.]

(4) In the exercise of his powers under paragraph (b) of subsection (3), the Minister may fix different amounts in respect of different foreign tea auctions:

Provided that any amount or amounts which may be determined by the Minister acting under subsection (3) shall be published in the Gazette and tabled in Parliament as soon as possible thereafter and unless Parliament by resolution within two months resolves against it, the amount or amounts shall continue to be levied and provided further that nothing in this subsection shall be deemed to prevent the Minister from levying as a lawful tax the amount or amounts he may determine until the expiration of such period or Parliament by resolution revokes his Order, whichever event occurs earlier.

3. Person liable to pay the tax on tea sold at a Colombo tea auction.

Where any tea is sold at a Colombo tea auction, the person who is the owner of the tea at the time of the sale shall pay to the Commissioner, not later than ten working days after the date of the sale, the tax payable in respect of such tea under section 2.

4. Person liable to pay the tax on tea sold at a foreign tea auction and manner of payment.

(1) The owner of tea which is authorised by a permit issued under this Act to be exported from Sri Lanka for sale at a Foreign tea auction shall pay to the Commissioner the tax payable on such tea under section 2 in accordance with the following provisions—

(a) an advance payment in respect of such tax shall be made to the Commissioner before the issue of such permit.

(b) the amount of the advance payment referred to in paragraph (a) of this subsection shall be determined by the Commissioner according to such rates of advance payment as shall be fixed by the Minister by Order published in the Gazette. The Minister may in any Order under this paragraph fix different rates of advance payment for different qualities of tea.

(c) not later than three months after the date of the sale of the tea at a foreign tea auction, the amount of the difference, if any, between the tax payable on the tea under section 2 and the advance payment made under paragraph (a) of this subsection shall be paid to the Commissioner.

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Recent Updates

LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


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VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015


LAW COMMISSION (AMENDMENT) ACT, NO. 19 OF 2016


VALUE ADDED TAX (AMENDMENT) ACT, NO. 20 OF 2016


PORTS AND AIRPORTS DEVELOPMENT LEVY (AMENDMENT) ACT, NO. 21 OF 2016


NATION BUILDING TAX (AMENDMENT) ACT, NO. 22 OF 2016


IMMIGRANTS AND EMIGRANTS (AMENDMENT) ACT, No. 7 OF 2015