Traders asked not to collect VAT separately during sales

The revenue board has asked traders not to collect value-added tax (VAT) separately during sales, rather add it to product prices.

"Customers become unhappy while paying for the products if the VAT is levied separately," revenue board Chairman Abu Hena Md. Rahmatul Muneem told a lottery draw on sales receipts generated by electronic fiscal devices in Dhaka Sunday.

The move aims at encouraging people to ask salespeople for machine-generated shopping receipts to ensure that the actual amount of VAT properly goes to the state coffers.          

In early October, the revenue board issued a circular asking not to collect VAT separately. According to the notification, sales receipts will have to show products or services, quantity, VAT and supplementary duty, if any, mentioned altogether in taka, the Bangladesh currency.        

The price of the product including VAT will have to be mentioned in the price tag. At the same time, the price of the product, amount of VAT and supplementary duty, if applicable, will have to be mentioned separately in the receipt, a revenue board official explained.

According to the revenue board, the lottery was held on the receipts issued from 1 November to 30 November, and there were a total of 101 prizes. The 1st prize was Tk1 lakh, 2nd prize Tk50,000 and five 3rd prizes were Tk25,000 each.

The prize money is completely income tax-free. Lottery results can be found on the revenue board website www.nbr.gov.bd.