Lasith Malinga vs The Commissioner General of Inland Revenue – CA TAX/15/2019-2021

The case between Lasith Malinga (Appellant) and the Commissioner General of Inland Revenue (Respondent) addressed the taxability of contract and match fees received by the Appellant, a national cricketer, from Sri Lanka Cricket (SLC), including payments both in foreign currency and Sri Lankan Rupees, for matches held domestically and abroad. The court held that such income is subject to tax under the Inland Revenue Act, No. 10 of 2006, except for specific exemptions narrowly construed under sections 8(1)(j), 13(f), and 13(v). It was established that contract and match fees earned under a Sri Lankan employment contract, despite being paid in foreign currency or connected to matches overseas, did not qualify for exemption as “foreign services”; only match fees from participation in internati