CIGFL is payable by any “Construction Contractor” or “Sub Contractor” on the “value of any construction contract” enforced in Sri Lanka (on or after January 1, 2005) at the specified appropriate rate.
However, no CIGFL shall be charged on any construction contract to be entered into and enforced in Sri Lanka by any construction contractor, on their contract value in respect of contracts for the implementation of specified projects approved by the Minister of Finance, entered into from and after January 1, 2011. (PART IV of the Finance (Amendment) Act No 15 of 2011)
Rates of CIGFL are as follows.
Value of Contract Rate
Less than Rs. 15 m Nil
Not less than Rs. 15 m but less than Rs. 50 m 0.25%
Not less than Rs. 50 m but less than Rs. 150 m 0.5%
Rs. 150 m or more 1%