Propose 2018-19 fiscal year budget proposals to increase tariff, supplementary duty and regulatory duty on local goods and imports on several products. This will increase the price of some products at the consumer level. Finance Minister Abul Maal Abdul Mahitat announced a number of announcements on Thursday.
Advance VAT is increasing in import: Finance Minister has proposed to increase advance VAT and business-grade VAT from 4 percent to 5 percent. It can affect the import. Currently about 1100 types of products are imported, where VAT is paid.
Growth in small flats: The cost of purchasing small flats (1 to 1100 sq ft) from the next year will increase. And medium (1101 to 1600 sq ft) flat shopping costs can reduce. Currently, there are 1 1.5 percent VAT registration for 1 to 1100 sq.ft flat registration. And VAT rates from 1101 to 1600 sqft are 2.5 percent. Finance Minister Abul Maal Abdul Muhith has proposed to fix VAT on 2 percent VAT registration in the next fiscal year. But the big flat (more than 1601) registration VAT rate is 4.5 percent unchanged. Meanwhile, the cost of those who buy old flats can be increased. Because VAT is being levied at 2 percent for the old flat re-registration in the new fiscal year.
Increase in furniture: After purchasing a flat, if the furniture is ready to buy furniture, the next year will be due to additional pressure buyers. The government has decided to increase VAT by 1 percent in the production and marketing phase of FY2011-19. At present, VAT has to be paid at the rate of 6 percent in the production stage. The finance minister has proposed 7 percent rate for the next fiscal year. And in the marketing phase, it has been proposed to change 4 percent VAT to 5 percent and in the budget.
Clothing is growing: Currently there are 4 percent VAT in sales of ready-made brands. The government has proposed VAT at the rate of 5 percent in this sector from the next fiscal year. Apart from this, VAT will be imposed at 5% rate for marketing of non-garment products for sale in the local market.
VAT is 5% in the IT service: There are currently 4.5 percent VAT on information-related services. The finance minister is making a 5 percent VAT rate in the proposed budget. The expenditure in this sector will increase. Recently, the number of people and organizations of IT services increased. This can increase the cost of living of people.
E-commerce is coming under VAT: Currently the use of internet or social media products or services has increased. In order to further increase the range of products and services, a definition called 'virtual business' is being given in the budget. This service will be included in the purchase or sale of any product and service based on online. 5 percent VAT is being levied on this virtual business service.
Tariff value is increasing in many markets: Government defines tariff value to protect domestic industry and imposes VAT on it. Tariff value is generally much lower than the market value. As a result, VAT is imposed at the same rate, but VAT is not less than the imported goods. The Finance Minister has proposed to rationalize tariff value of different products in coming budget. As a result, prices of these products can be increased. The list includes: Tomato paste, ketchup, sauce, various fruit pulp, fruit juice, non-use transformer oil, lubblending oil, various types of paper and paper products, cotton yarn waste, west denim, stack / ship stack, CR coil, GP Sheet , CI sheets, colored ci sheets, blades, eyeglasses and sunglasses.
