The Provincial Council administration units were established under the 13^th amendment of the constitution of the Democratic Socialist Republic of Sri Lanka. Provincial Revenue Departments were established for the purpose of handling the relative tasks to the revenue generating activities.

The Central Provincial Council is the administration unit of province established by amalgamating Kandy, Nuwaraeliya and Matale district together.  The Department of Provincial Revenue of Central Province was formed according to the legal framework of the number 17^th of 1990, Finance Statute passed by the Central Provincial Council, within the legal provisions made by constitution.

According to the aforesaid Financial Statute and number 03, 1996 amended Statute and number 4, 2014 Pawn Brokers’ Statute of Central Province there are 13 sources of revenue to be administrated directly or indirectly by the Provincial Commissioner of Revenue.

1. Stamp Duty
2. Business Turnover Tax (BTT)
3. Excise Revenue
4. Lotteries Tax
5. Motor Vehicle Fees
6. Court Fines
7. Tax on Prize Competitions
8. Tax on Betting
9. Fees on Land Alienated under the Land Development Ordinance and the
10. State Lands ordinance
11. Tax on Minerals Rights
12. Fees under the Fauna and Flora Protection Ordinance
13. Charges Levied under the Weights and Measures Ordinance
14. Fees under the Pawn Brokers’ Statute

Out of these 13 sources, at present, following sources are directly administrated by the Department of Provincial Revenue.

1. Stamp Duty
2. Business Turnover Tax (BTT)
3. Tax on Betting
4. Mineral Tax
5. Pawn Broker Fees

With establishment in 1991, the Department commenced its function with an initial Staff of seven officers who attached from the Department of Inland Revenue. Including all grades, at present, the cadre is sixty one (61).  Out of this 61 cadre, 56 are permanent officers and rest 5 are casual officers.

When established the Department, there was no permanent premises for the Department and from 1991 to 1999 it has been shifted to 3 places. In 1999 the Department acquired new premises as its own premises with four stories building situated within the Kandy MC area.

The collection of turn over tax as Rs. 104 million in 1991 and it was able to increase up to Rs. 576 million in 2006. The revenue target for the year 2008 was Rs. 1170 million and it was able to collect Rs. 1328 million. In year 2010 it was increased up to Rs. 1683 million.

The collection of the stamp duty as Rs. 30 million in 1991 and it was able to increase up to Rs. 862 million in 2013.

Until year 2000, as a government institute, the department practiced a manual data base system, and since year 2000 it converted to a single user computerized database. By the year 2008 department it was developed to a multi user database with high security and since the network system any officer can access the database from any place in the Department within the given authority. Now there is a fully computerized environment pushing up efficiency of the staff.

Deviating from traditional Government’s office, the department of provincial revenue (central Province) has converted its service from department centered to citizen centered service with comply the “Mahinda Chinthana Vision for the Future”.