VAT hike will not affect common people: Press Secretary

  • Staff Correspondent, Barta24.com,Dhaka
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photo: Collected

photo: Collected

An ordinance has been issued increasing the value-added tax (VAT) or supplementary duty on hundreds of goods and services including hotels, restaurants, telephones, internet and soft drinks. However, the Chief Adviser's Press Secretary Shafiqul Alam said that even if VAT is increased on these goods and services, it will not have much impact on the common people.

He made this comment at a briefing at the Foreign Service Academy auditorium on Sunday (January 12) evening.

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He also mentioned that the tax money will be spent on the development of Bangladesh.

At this time, the Chief Adviser's Deputy Press Secretary Abul Kalam Azad Majumder, Apurba Jahangir, Senior Assistant Press Secretary Faiz Ahmed, Assistant Press Secretary Ashrofa Imdad, Suchismita Tithi were present.

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Costs that will increase due to the increase in customs and taxes

Previously, a supplementary duty of 20 percent was imposed on the use of mobile phone SIM or RIM cards. This has now been increased to 23 percent. As a result, the cost of talking on mobile phones and using the internet will also increase. VAT on bills of ready-made clothing outlets of brand shops and shopping malls has been increased from 7.5 percent to 15 percent. In addition, VAT on all types of restaurants has been increased from 5 percent to 15 percent.

The list of customs and tax increases also includes tissues, cigarettes, nuts, mangoes, oranges, grapes, apples and pears, fruit juices, any type of fresh fruits, paints, detergents, dyes, liquor bills, potato flakes, plastic and metal frames of glasses, reading glasses, sunglasses, electrical transformers and the oil used in them, electricity poles, CR coils, GI wires, etc. Apart from this, travel tax has also been increased.