Government is to cut 5% VAT more on internet use. Therefore, among the existing 15% VAT, 10% gets exemption.
Earlier on last June 21, a decision was taken to reduce up to 5% VAT on internet use. Later, Mustafa Jabbar requested the honorable Finance Minister Abul Maal Abdul Muhith for VAT cut a little bit more. Then, as per decision taken on June 25, the document in this regard signed by the Finance Minister shows that only 5% VAT has been imposed on internet use finally. This was finally ensured by Post, Telecommunication and ICT Minister Mustafa Jabbar.
Despite increasing VAT rate on internet use in the proposed budget of 2018-19 fiscal year, existing VAT rate was not reduced. VAT free internet was one of the key demands raised by country’s ICT entrepreneurs and businessmen. Image collected.