Coining the term 'honourable VAT trustees' to describe businessmen, it said they act as the trustees of the funds people pay as VAT to the state. They also have reservations over the scrapping of a fixed VAT (package VAT) method, VAT registration process and the ceiling of the annual turnover tax. In its statement, the NBR rebuffed claims that the new VAT law will hike inflation. "These claims are made without considering the rebates…The reality is the new law will cut down the tax burden at the consumer level." The NBR said that the new law exempts VAT from basic necessities like, food, life-saving drugs, public transport, health, education and agriculture, which will benefit low income groups.

Source: bd News24 May 01, 2017 05:37 UTC