Foreign clients, mixed currencies, one clean return.
Designers, developers, writers, photographers, consultants. Upload your bank statements and TaxWise sorts every USD, GBP and LKR receipt into IRD-ready schedules you submit yourself.
Freelance fees are on Pro: SET instalment estimates, reminders and the 15% foreign lane included.
- Upwork (USD), remitted2,900,000
- UK studio (GBP), remitted1,900,000
- Local clients (LKR)1,200,000
- WHT 5% from local clients−60,000
- Allowable costs−640,000
Example taxpayer. Converted on the day each payment landed.
Four sources of confusion. All solvable.
Mixed currencies
USD from Upwork, GBP from a UK studio, LKR from local clients. Each lands on a different day at a different rate, and you declare in rupees.
No PAYE safety net
Foreign clients withhold nothing; local ones may take 5% WHT on service fees. The rest you pay yourself in quarterly instalments, which many freelancers only find out about when they’re late.
Allowable expenses
Internet, co-working, the laptop, training, the corner of the house you work from. The Act allows them; you need receipts to back them up.
Double tax exposure
An overseas client may withhold tax. Sri Lanka has treaties with many countries, but the credit only counts if you claim it on the right schedule.
Five dates that define your tax year.
For Y/A 2025/2026, four SET instalments and one return.
- 15 Aug 2025Instalment 1A quarter of your estimated tax for the yearPassed
- 15 Nov 2025Instalment 2Re-estimated on your first-half actualsPassed
- 15 Feb 2026Instalment 3Nine-month checkPassed
- 15 May 2026Instalment 4Last instalment: settle estimate against actualPassed
- 30 Nov 2026Annual returnSubmit the full return for Y/A 2025/2026Open now
It’s October 2026. All four 2025/26 instalments and the 30 September 2026 final-balance date have passed. Missed some? Get your return in by 30 November and settle what’s left as soon as you can; late payment can attract penalties and interest. Pro estimates each instalment from what you’ve earned so far and reminds you before the next one.
The ledger you should be keeping.
TaxWise builds it from your bank statements and asks for the receipt when one is missing.
| Expense | Typical value | Treatment |
|---|---|---|
| Co-working desk | Rs 18,000/mo | Fully deductible if used wholly for work |
| Laptop (an asset) | Rs 425,000 | Capital allowance, claimed over several years |
| Internet, home and mobile | Rs 9,200/mo | Split by use, e.g. 60% work, 40% personal |
| Software subscriptions | Rs 14,500/mo | Design, notes and code tools, backed by invoices |
| Training and courses | Rs 92,000/yr | If directly tied to the work you do now |
| Travel to client meetings | Rs 28,400/yr | Keep a simple trip log |
Bring it home, and it stops at 15%.
Foreign income you remit to a Sri Lankan bank is taxed at no more than 15%. The slabs above it, 18% to 36%, don’t touch it.
TaxWise converts each receipt to rupees on the day it landed, keeps the capped lane separate from your local fees, and shows you both.
Straight answers, current for 2025/2026.
Find your tax profile
Local clients, overseas payments and quarterly instalments all interact. Answer five questions and see which schedules you file and what falls due when.
Get filing-ready for 2025/2026.
Your first estimate in about a minute. Free for salary and bank interest. No card needed.
Start my returnReturn for Y/A 2025/2026 due 30 November 2026