Govt. moves to bring OTAs into tax net as Booking.com talks begin

THE Government is preparing for a decisive round of talks with global online travel giant Booking.com later this week, as it steps up efforts to bring online travel agencies (OTAs) and digital accommodation platforms into the country's regulatory and tax framework.

- CHARUMINI DE SILVA

Tourism Deputy Minister Prof. Ruwan Ranasinghe confirmed that representatives of Booking.com are expected in Colombo between 13 and 15 September, with discussions aimed at establishing a mechanism to ensure compliance with taxation and regulatory requirements.

"The final discussion has not been confirmed yet, but we will conduct a meeting session later this week," Prof. Ranasinghe told the Daily FT.

The move reflects renewed urgency to regulate a sector that has grown explosively in recent years, but remains largely informal. Authorities estimate that more than 50,000 properties currently listed on Booking.com alone fall outside the formal tax net.

Prof. Ranasinghe said the Government expects to bring OTAs under the Sri Lanka Tourism Development Authority (SLTDA) regulatory framework within six months, a step that would also subject them to local levies.