Bangladesh : VAT on edible oil slashed to 5pc to stabilise prices
To ensure stable edible oil supply and prices, Bangladesh has reduced the import-level VAT on edible oil from 10% to 5%. This follows previous tax exemptions aimed at controlling prices of essential items like rice, potatoes, and oil. The NBR stated that the 5% VAT reduction will help maintain affordable prices until December 15, 2024.
The import-level value-added tax (VAT) on edible oil has been reduced from 10 per cent to 5 per cent to maintain a steady supply in the market.
The National Board of Revenue (NBR) issued a notification in this regard on Tuesday.
Earlier, the NBR had issued exemption notifications to boost the supply of rice, potatoes, onions, eggs, edible oil and sugar in the market.
On October 17, 2024, to keep oil prices within the purchasing power of the general public, a 15 per cent tax exemption was allowed at the local production level, while a 5 per cent VAT was imposed at the local business level on the supply of refined and unrefined soybean and palm oil.
As a result of this exemption, only a 5 per cent VAT is currently applicable at the import level.
The NBR says that the removal of the said VAT will help maintain edible oil prices at a manageable level in the market, ensuring that consumers do not face increased costs.
This exemption on edible oil will remain effective till December 15, 2024
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Source Link : Financial Express
