Staff Correspondent, Dhaka
Customers will no longer have to pay additional Value Added Tax (VAT) when shopping at superstores. Purchases can be made at the retail price printed on the product.
The VAT department of the National Board of Revenue (NBR) issued a notification signed by NBR's Second Secretary (VAT Law and Regulations), Barrister Md. Badruzzaman Munshi regarding this on February 9.
Under the new regulation, superstore owners must sell products at the printed retail price, which will already include a 15% VAT. They will pay VAT on their value addition and claim input VAT credits from previous stages.
Previously, VAT rates on superstore shopping varied between 1.5%, 2%, and 5%, which was later set at 7.5%. Following objections from chain superstore owners and discussions with the NBR, the new rule has been introduced.
The NBR is reviewing the list of essential goods that are VAT-exempt at the production stage but subject to VAT at the business stage to ensure consumers do not bear additional tax burdens.
