|Published : 02 Jul 2017, 21:57:11||
The Bangladesh Chamber of Industries (BCI) welcomed on Sunday the government’s decision to defer the implementation of new VAT (Value Added Tax) and Supplementary Duty Act, 2012 for two years.
The chamber also thanked the government for reducing the proposed excise duty on bank deposits in the national budget for fiscal year (FY) 2017-2018.
In a statement, BCI president Mostafa Azad Chowdhury delivered the post-budget reaction.
He said the suspension of new VAT law would allow local businesses, especially small and medium firms, to prepare for VAT payment under the latest procedure.
“The decision will further strengthen the mutual trust between the government and local businesses,” he added.
However, he called for the completion of the VAT Online project shortly as it would become a benchmark towards developing the VAT system and reducing the harassment of traders.
Moreover, the BCI hailed the government for exempting VAT and providing tariff benefits from local motorcycle manufacturers and reducing supplementary duty on imported parts of refrigerators by local manufacturers and assemblers.
The BCI president expressed the concern that unchanged rate of corporate tax might have negative effect on local and international investment in the country and diversifying products in many sectors.