Even if VAT is increased, prices of daily necessities will not increase: NBR

  • Staff Correspondent, Barta24.com,Dhaka
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Even if VAT is increased, prices of daily necessities will not increase: NBR

Even if VAT is increased, prices of daily necessities will not increase: NBR

There are no daily necessities among the products and services on which value added tax or VAT, supplementary duty and excise duty are being increased. As a result, the prices of consumer goods will not increase and there will be no impact on inflation.

This information was given in a press release by the National Board of Revenue (NBR) on Saturday (January 4).

বিজ্ঞাপন

It said that some news published in the media on VAT, income tax and customs recently came to the attention of the NBR. In the public interest, extensive concessions have been given in the duty and tax rates of daily necessities.

Now, the Board of Revenue has taken various steps to increase the scope of VAT and rationalize the rates with the aim of increasing internal revenue collection, implementing SDGs and becoming self-reliant as a nation. In the last four months, eight products including rice, potatoes, onions, sugar, eggs, dates, edible oil and pesticides have been exempted from import, local and business level duties, VAT and income tax to increase the supply of daily necessities in the market and keep prices stable. This has led to a huge reduction in revenue collection. If revenue is not increased from sectors other than daily necessities, there will be a huge budget deficit.

বিজ্ঞাপন

Therefore, in addition to increasing the scope of VAT, the Board of Revenue has to take this special step during the 2024-25 fiscal year to increase revenue collection by rationalizing the rates and amounts of VAT, supplementary duty and excise duty.

The NBR said that in addition to value added tax, various steps are being taken to increase the scope of tax in the field of income tax as well. In addition, in the continuation of gradually coming out of the culture of income tax exemption, the process of repealing and amending the provisions of income tax exemption is also in progress.