Finance
Import Duty Cabinet instructs to reduce duty on daily commodities including oil at import stage
Dhaka, March 14: The Cabinet has directed the Ministry of Commerce and the NBR to consider reducing tariffs on various commodities, including oil, at the retail level as well as at the import level.
The directive was given at a virtual cabinet meeting chaired by Prime Minister Sheikh Hasina on Monday (March 14th). The Prime Minister from Ganobhaban and Ministers and State Ministers from the Secretariat took part in the meeting via video conference.
After the meeting, Cabinet Secretary Khandaker Anwarul Islam gave this information in a press briefing. He said a number of decisions had been taken at the inter-ministerial meeting on Sunday, including lifting the VAT on consumer goods at the consumer level, to keep prices affordable.
"VAT has been waived at the retailer level of edible oil," he said. The law minister said he had signed the SRO.
A new issue was discussed at the cabinet meeting, said Khandaker Anwarul Islam. "An observation was made at the meeting and the NBR was instructed to look into how to reduce the 15 per cent VAT on imports and bring it down to as low as possible."
"There is 15 per cent VAT on imports. The NBR has been directed to take immediate steps to reduce the VAT on imports as much as possible. We think that reducing the import level will have a direct positive impact."
Responding to a question, the cabinet secretary said, "We have been asked to reduce VAT not only on edible oil, but also on sugar or whatever is needed more. To bring it to a very low level in the case of what will be in a very crisis. The lowest possible is going to a ceiling."
He said the NBR had been asked to consider as soon as possible after discussing with the Commerce Ministry whether VAT could be taken at the lowest possible level. Khandaker Anwar said that there was a problem if the duty was lifted completely.
