A revised income tax treaty between Singapore and Sri Lanka was signed April 3rd 2014. The treaty provides for the following withholding rates:
- Dividends - 7.5% if paid to a company that directly holds at least 25% of the capital of the paying company, otherwise 10%
- Interest - 0% if paid to a banking or financial institution, otherwise 10%
- Royalties - 10%
In Singapore, the provisions for tax withheld at source will apply January 1st of the year following the treaty's entry into force, and Janu…