VAT Invoice Template for Sri Lankan Hotels, Halls and Caterers

Start with the words TAX INVOICE and the supplier block

Every invoice must prominently display the words "TAX INVOICE", which separates it from quotations, proforma invoices and receipts. Below that goes the supplier information exactly as shown on your VAT registration certificate: your nine-digit Taxpayer Identification Number, registered business name and registered address.

"Exactly" is the word to take seriously. A hotel trading as "The Lake Pavilion" whose certificate says "Lake Pavilion Hospitality (Pvt) Ltd" must print the registered name. Branding and logos are allowed and encouraged, as long as the mandatory elements stay clear and easy to find.

Sample: tax invoice for a corporate conference day

Two-day sales conference for 80 delegates at a Kandy hotel, invoiced to a VAT-registered company after the event; invoice number 26AUG_CONF_00217.

• Supplier and purchaser TIN, name and address printed as per VAT registration certificates.
• Invoice date and date of supply shown separately; all values in LKR to two decimals.
• Advance of 50% received before the event is shown against this invoice with the balance due.

Purchaser details: when to include them

Where the purchaser is VAT-registered, the invoice must show the purchaser's TIN, name and address as per their VAT registration certificate. The circular explains why: it supports the purchaser's input VAT claim and lets the IRD match your output tax to their input tax.

For a corporate conference, ask the company's finance team for the TIN and registered name before the event. For a family wedding, the purchaser is usually not VAT-registered, and the IRD's VAT page describes tax invoices as issued to other registered persons. Give the family a clear commercial invoice or bill instead, and ask your accountant how you record those supplies.

The new invoice number: YYMMM_QQQQ_XXXXX

The circular prescribes the serial number structure. YY is the year of issue, so 26 for 2026. MMM is the first three letters of the month, such as JUL. QQQQ is a classification code of 1 to 15 letters or numbers that you choose, for example to identify a branch, department, project or invoice type. XXXXX is a sequential number made only of digits.

The complete number must have no spaces and no more than 40 characters, and the sequence must continue without gaps. The circular allows the sequence to restart at the start of a new month or year only where the reason is beyond your control.

A hotel with three banqueting venues might use 26JUL_BQ1_00031 for its main ballroom and 26JUL_BQ2_00008 for the garden terrace. A caterer might classify by type of event. Pick the codes once, write them down, and do not let each cashier invent new ones.

Businesses that obtained the Commissioner-General's approval before 1 July 2026 to connect their ERP to the IRD's RAMIS system for real-time invoice reporting may treat the YYMMM_QQQQ_ part as optional, provided the integration is completed by 31 December 2026.

What your invoice must show in Sri Lanka

Two dates, and a description that actually describes

The invoice needs both the invoice date and the date of supply. For an event, the date of supply is the event date; if you invoice a wedding a week later, both dates appear and they differ. The circular notes that this distinction decides the tax period for VAT reporting.

The description must be specific enough for the IRD to identify what was supplied. The circular tells taxpayers to avoid vague words such as "items", "products", "services" or "miscellaneous". "Wedding reception buffet dinner, 312 guests, 14 December 2026" meets that standard. "Function charges" does not.

Quantity must use a measurable unit: guests, hours or days for services, packages, or kilograms and litres for goods.

Values, VAT and foreign currency

All amounts must be in Sri Lankan rupees with two decimal places, showing the value of supply excluding VAT, the VAT charged and the total including VAT. With VAT at 18% since January 2024, a Rs 1,950,000 buffet line carries Rs 351,000 of VAT.

If you have Central Bank approval to invoice in foreign currency, for example for an overseas company holding a conference, the invoice must also show the value, VAT and total in rupees, converted at the Central Bank's foreign currency selling rate for the invoice date.

A tax invoice in this format carries only VAT-taxable supplies. Exempt or out-of-scope items should not be on it, unless they are directly related to and form an integral part of the taxable supply, in which case they may be disclosed separately.

Optional fields worth adding, and what non-compliance costs

The circular lists optional information you may add: the mode of payment, the place of supply, the total in words, and notes or references. For events it is worth adding the booking number, the advance received and the balance due, since families and companies both pay in installments.

Failure to follow the prescribed format can lead to invoices being rejected for input VAT credit, inconsistencies in VAT returns, closer audit scrutiny and penalties under the VAT Act. For a hotel whose corporate clients claim input VAT, a rejected invoice is also a lost customer. Check your first July 2026 invoices against the circular line by line, and fix the template once rather than correcting invoices one at a time.

Advances need care too. If a company pays half before the conference, record the advance with its own reference, and show it against the final tax invoice so that the balance, not the full amount, is collected. Your accountant will tell you how the advance is treated in your VAT return; the invoice simply has to make the history clear.

• Booking number and event date
• Advance received and balance due
• Mode of payment and bank details
• Total in words

Invoice questions from Sri Lanka