Jun 03, 2021 9:15:01 p.m.
Jun 04, 2021 08:17:57
The government has exempted the home appliance industry from value added tax or VAT to reduce dependence on foreign products.
In the 2021-22 budget unveiled on Thursday, the government included the VAT exemption on locally made blenders, juicers, blenders, grinders, electric kettles, rice cookers, multi cookers and pressure cookers.
Washing machines, microwave ovens and electric ovens made in Bangladesh will also benefit from the VAT exemption, reports bdnews24.com.
Advance tax exemption on raw materials of iron products, scrap iron and ethylene glycol, terephthalic acid, ethylene propylene will help enterprises to manufacture PVC and PET resins, used in leather cartons, paints and adhesives, or fibers for clothing, containers for liquids and foods, and thermoforming for manufacturing.
Finance Minister AHM Mustafa Kamal has also proposed VAT exemption on fresh fruits and the manufacture of puffed rice.
To maintain the existing momentum of growth of local industries, he proposed to maintain the VAT exemption facilities on the manufacture of LPG cylinder, refrigerator, freezer and its compressor, polypropylene staple fiber , air conditioner and its compressor, automobile and motor vehicle.
To facilitate business, the Minister of Finance has proposed a series of measures, including a reduction in the advance tax for the import of raw materials for industries to 3.0% from 4.0%.