The government is going to waive 5 percent value-added tax (VAT) on edible oil particularly soybean at import level until June 30.
This move is aimed to reduce the pressure on consumers’ wallets as many people have expressed dissatisfaction over the high prices of different essential commodities.
Consumers are going to be relieved while buying edible oil, particularly soybean oil, as the government has already decided to cut the indirect tax on imports of crude soybean oil to 5 percent from 15 percent currently.
Gazi Towhidul Islam, public relations officer of the Finance Ministry, unveiled the matter on Tuesday.
The NBR would issue a notification soon in this regard, he added.
On Monday, the NBR issued a circular regarding the VAT exemption on soybean oil at production and consumer level except import.
The circular said, the VAT will be completely reduced from 15 percent at the production level and 5 percent at the consumer level.
However, the existing 15 percent VAT on the import of edible oil would remain unchanged, according to the circular signed on Monday by NBR Chairman Abu Hena Md Rahmatul Muneem.
Earlier, experts said customers might be able to pay just Tk 1.5-Tk 3 less per litre following the removal of VAT at production and consumer stages.
They mentioned customers won’t get more benefit without the removal of VAT at the import stage.
