Bangladesh Government has reduced value-added tax (VAT) on yarn from man-made fibre (MMF) and other fibres from Taka 6/kg to Taka 3/kg.
This is as per the proposed budget for FY ‘23.
It may be mentioned here textile millers in Bangladesh earlier demanded withdrawal of tax on the import of MMF and reduction of VAT on the sale of the items in the local markets consequent to increased consumption of the artificial raw materials globally.
According to the proposal of the Bangladesh Textile Mills Association (BTMA) on 24 February this year, it added the textile millers were for cutting VAT by half on the sale of manmade fibre yarn to Taka 3 from Taka 6/kg as they also pay Taka 3 on the sale of cotton yarn.
