Road Transport and Bridges Minister and Awami League General Secretary Obaidul Quader has said that no decision has been taken to impose VAT on Metrorail fares, the most popular public transport in the capital.

He gave this information in response to a question from journalists after the distribution of Iftar and Eid items on the grounds of Rajdhani High School on Friday morning. Obaidul Quader, in response to NBR’s letter regarding the imposition of VAT at the rate of 15 percent on metro fares from next July, said that the government is not aware of the sudden imposition of 15 percent VAT on metro rail fares.

From December 28, 2022, considering the passengers, NBR has exempted VAT on metro rail fares. This facility will remain in force until next June. Dhaka Mass Rapid Transit Company Limited (DMTCL) recently wrote to NBR to extend VAT exemption period. But the application was rejected by the National Board of Revenue (NBR). NBR wrote to DMTCL that 15 percent VAT may be levied on metro rail fares from next July. NBR officials have confirmed this information.

According to the NBR, tax exemptions are being reduced in all sectors to increase revenue as per development needs. Therefore, the VAT exemption of this sector will not be increased. As a result, metro rail passengers will have to pay 15 taka VAT on a fare of 100 taka from July.

President of Awami Fishermen’s League, Sayidur Rahman, attended the event as a special guest. Abdus Sobhan Golap.