The value-added tax on internet use might be cut by 5 percentage points from the existing 15 percent to meet a longstanding demand of the ICT businesses.
Finance Minister AMA Muhith gave the assurance on bringing down the VAT rate at a meeting at his office at the Economic Relations Division in the capital.
Seven trade bodies providing digital services have been urging the government for the last seven years to lessen the tax burden on internet use.
However, a 5 percent supplementary duty and 1 percent surcharge will remain in place along with the VAT for using internet through mobile phones, said Syed Almas Kabir, president of the Bangladesh Association of Software and Information Services (BASIS), who attended the meeting.
ICT and Telecom Minister Mustafa Jabbar said the government has resolved all the problems with the digital industry and fulfilled all of their demands.
https://www.thedailystar.net/business/telecom/vat-internet-use-go-down-1593505