The tax administration issued a notification in this regard yesterday, which was made public today
NBR said it has slashed VAT on ready-made clothes, restaurants, sweets, non-AC hotels and motor workshops and mostly restored to the previous levels
The National Board of Revenue is set to revise down the value-added tax (VAT) and supplementary duty (SD) on a number of items including mobile phone usage, internet services, medicine, clothes and restaurants as public outcry became deafening.
The recent VAT hike on clothing in Bangladesh strains businesses, consumers, and designers, especially with Eid approaching. Alternative measures like taxing luxury items or offering subsidies could have balanced revenue generation and economic sustainability more effectively.
NBR issues a notification moments ago
Aiming to encourage e-return filing and reduce hassles, taxpayers will no longer be required to submit hard copies related to value-added tax (VAT) returns to the VAT office if they file an e-return, the National Board of Revenue (NBR) said.
NBR also exempted VAT at production and trading of the highly import-based edible oil
Tour operator services, which include hotels and resorts as well as tour guides, may also no longer enjoy a 15 percent VAT exemption.
Dhaka is one of the most unliveable cities in the world, which does not go hand-in-hand with the progress made by the country, says the road transport and bridges minister
The government's focus on mega projects, skills development and job creation are commendable.
The government has backtracked from its decision to roll out the new VAT law from July due to resistance from businesses and a section of revenue officials and inadequate preparation from the National Board of Revenue.
To ensure deposition of VAT by traders outside district towns, the government has planned to make it mandatory for trading units outside the district towns to use Electronic Cash Register (ECR) and point of sale (POS) system.
In face of protests from businessmen, the government has decided not to implement a flat VAT rate for small traders and instead almost doubled the package VAT.
The government has backtracked on its move to implement the new VAT law from the start of the new fiscal year in the face of resistance from businesses, a section of revenue officials and inadequate preparation by the National Board of Revenue (NBR).
That the government needs to increase revenue is understandable, given that we are looking at wholesale promotions within the bureaucracy and a new revised wage board that has to be implemented for State officials. However, one has to take into account at what cost will revenue be increased. Going by what has been published in the press, everything from electricity to apparels will be more expensive – products and services will boast at least a 15 percent increase in selling price.
Despite opposition from businesses, Finance Minister AMA Muhith says a uniform 15 percent VAT will be applicable from next fiscal year.
In a pre-budget discussion, mobile operators urges the government to remove value added tax (VAT) on internet use in the upcoming fiscal plan for 2016-17.
The Supreme Court stays a High Court order that halted the 7.5 percent value added tax (VAT) on the English medium schools’ tuition fees.
Health conscious university kids immediately go on VLCC's VAT-reducing diet. Traffic jam turns into VATtic jam as playing with traffic is the only available bargaining chip.
