The National Board of Revenue (NBR) announced on Monday that it will reduce the import VAT on all types of edible oil to 5% and remove the other taxes until March 31, aiming to ease inflationary pressures during Ramadan.

Ramadan is expected to begin in March next year.

In a statement, the NBR mentioned it had issued three separate notifications regarding the tax cuts on edible oils to mitigate the impact of rising global oil prices.

The revenue authority has extended the current duty cuts on soybean and palm oil products until March 31 and introduced new tax reductions for canola and sunflower oil products.

As a result, all import taxes, regulatory duties, advance income taxes on imports, and internal VAT have been eliminated, with the import VAT reduced to 5% from 15%.

The NBR anticipates that the reduced taxes on canola and sunflower oils will lower their import costs by Tk40-Tk50 per liter.

BDST: 2118 HRS, DEC 16, 2024
MSK