Sri Lanka’s Inland Revenue Department has issued an official notice confirming increases in casino-related levies and entry fees, following Cabinet approval granted in September. The revised measures took effect from 1 January 2026, according to local online news service Newswire.
Under the new structure, the Gross Collection Levy imposed on betting and gaming businesses with monthly collections exceeding Rs. 1 million has been increased from 15% to 18%. In addition, the Casino Entrance Levy has been doubled from US$ 50 to US$ 100. While some ambiguity remains over whether the entry fee applies only to locals, Newswire reported that the levy will be “charged on every person entering a casino or gaming establishment in Sri Lanka,” payable in US dollars, any other convertible foreign currency, or in Sri Lankan rupees by Sri Lankan citizens.
These revisions stem from amendments to Sri Lanka’s Betting and Gaming Levy Act, the principal legislation governing taxation of bookmakers and gaming operators. The changes form part of a broader overhaul of the country’s gambling framework, which has accelerated over the past year.
As part of this reform drive, Parliament has passed the Gambling Regulatory Authority Bill and repealed several outdated statutes, including the Horse Racing Betting Ordinance, Gambling Ordinance, and Casino Ordinance. The new law provides for the establishment of the Gambling Regulatory Authority (GRA), a dedicated regulator responsible for collecting gambling-related revenues, ensuring transparency and good governance, and curbing illegal gambling activities.
The Government has set 30 June 2026 as the target date for the formal establishment of the GRA, marking a significant step in modernising and strengthening oversight of Sri Lanka’s gaming and betting sector.
