When importing a vehicle, CIF is a key term to understand. It includes the total cost of the car, insurance, and shipping to your destination port.
CID—often called General Duty—is a government tax applied on imports. For vehicles, this is typically 20% of the CIF value. It’s one of the main components factored into your final landed cost.
In addition to CID, there’s a 50% surcharge applied on top of it. This increases the overall duty to around 30% of the CIF value. This new rate will be effective starting 31st January 2025.
Excise duty is calculated based on detailed government regulations issued in recent gazettes (Nos. 2418/43 and 2421/42). It’s not a one-size-fits-all amount—factors like vehicle type and engine capacity determine how much you’ll pay. We’re always updated on the latest changes, so you don’t have to worry.
Luxury Tax comes into play only if your vehicle’s CIF value exceeds a specific threshold:
Petrol & Diesel: Over LKR 5 million
Hybrid & Plug-in Hybrid: Over LKR 5.5 million
Electric Vehicles: Over LKR 6 million
e-SMART HYBRID / e-POWER: Over LKR 6 million
Only the portion above these limits is taxed—so choose smart!
The final piece of the puzzle: VAT at 18%. This is calculated on the total landed value, which includes:
This ensures all applicable costs are taxed fairly and transparently.
Best place to buy/import your dream vehicle from Japan to Srilanka. Lowest commission when importing, vehicles with warranty.
174/C/6 Suhada Mawatha, Kothalawala, Kaduwela, Sri Lanka
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