Mobile phone handsets to get costlier as the government lifts the 5 percent VAT waiver on the sale of mobile devices in the draft budget for FY 2022-23.
Finance Minister AHM Mustafa Kamal said this while placing the proposed national budget for the next fiscal year (FY23) at Jatiya Sangsad today.
“I propose
the existing 5 percent VAT exemption at the trading stage of mobile phone sets,” Finance Minister AHM Mustafa Kamal said.As of now, one has to pay more than 60 percent tax to import a handset. On the other hand, the government exempted local manufacturers from paying value-added tax, or VAT, while the plants assembling the handsets need to pay only 5 percent VAT.
The draft budget, however, includes a VAT exemption at the manufacturing stage for mobile phone batteries, chargers and interactive displays for the development of information technology and computer industry in order to reduce dependence on foreign products, save foreign currency and help develop domestic industries.
