Govt to withdraw duty on internet devices, 15pc VAT on internet usage to go

Govt to withdraw duty on internet devices
15pc VAT on internet usage to go
Staff Correspondent

The government has decided to withdraw import duty on internet devices to reduce costs for local users.

Besides, it has decided to waive 15 per cent VAT on internet usage as well as revise the tax structure of mobile handsets and mobile phone scratch cards.

The decision was taken at a meeting on tax structure of telecom sector between finance ministry and telecom and information technology ministry on Thursday.

The finance minister AMA Muhith presided over the meeting. Post and Telecommunication Minister Rajiuddin Ahmed Raju, and State Minister for Science and Technology Yeafesh Osman also attended the meeting.

The decision of the meeting will be implemented within December this year.

Talking to reporters after the meeting, the finance minister said they discussed revising tax structure on Information Communication Technology (ICT) items.

The cost of the customer services and the interests of local industry should also be examined in implementing the revised tax structure, he added.

Chairman of National Board of Revenue Dr Nasiruddin Ahmed told at the meeting that the revenue board only earns Tk 120 million every year from duty on modems.

Besides, 12 per cent tax on mobile handsets should be withdrawn by setting a tax of Tk 200 per set, he added. Chairman also said that one dollar tax on mobile phone scratch cards is likely to be withdrawn setting new tax on invoice value of the item.


Comments are closed.