15% VAT on IT infrastructure or House Rent was proposed in the budget of 2016-17 fiscal year placed by Finance Minister Abul Maal Abdul Muhith. But, from the very beginning, different entrepreneurs of the sector and leaders of different associations had been raising their intense demands for all kinds of VAT exemption on this sector. As a result of their demands, honorable Prime Minister spoke of 15% VAT exemption that was imposed on IT infrastructure or house rent as per the budget. This VAT was also exempted in the amended budget of last year.
This VAT exemption continues in the budget of 2017-18 fiscal year, too. Due to this VAT exemption, the IT sector of our country will get expanded and well-organized more, as all the concerned think.
All the entrepreneurs and businessmen belonging to IT sector and leaders of different IT concerning associations applauded it and said-This VAT exemption will encourage our IT sector to compete with the foreign companies.
President of Bangladesh Association of Software and Information Services (BASIS) Mustafa Jabbar said-We really applaud the decision of VAT exemption on IT infrastructure or house rent. This will be undoubtedly fruitful for our Information and Communication Technology.