Govt withdraws VAT on laptops at import stage

 The Bangladesh government plans to enhance affordability by increasing laptop import duty from 5 percent to 10 percent while removing the value-added tax (VAT). Finance Minister Abul Hassan Mahmood Ali aims to reduce the overall tax burden from 31 percent to 20.50 percent. This move supports freelancers, students, and the software industry while curbing fake or refurbished laptop imports.

The government has made some changes to the duty structure for importing laptops in order to make the devices more affordable and bring relief to freelancers and students.

The government plans to increase import duty of laptops from 5 percent to 10 percent and at the same time wants to withdraw value-added tax.

"This will reduce the total tax burden from 31 percent to 20.50 percent," Finance Minister Abul Hassan Mahmood Ali said.

In order to implement the Smart Bangladesh vision, the government wants to make laptops available to domestic consumers and rein in import of fake or refurbished laptops, he said.

The move aims to boost freelancing and support the software manufacturing industry, he added.

Currently, importers are required to pay a total of 31 percent in import tariffs and taxes, including 5 percent as customs duty.

THE BUSINESS WORLD