The National Board of Revenue has withdrawn advance tax on import of crude soya bean oil and palm oil to keep the prices of the essential commodities affordable on the country’s kitchen market.
Value-added tax wing of the revenue board on Sunday issued a statutory regulatory order signed by NBR chairman Abu Hena Rahmatul Muneem, exempting 4 per cent AT on import of the products.
The decision will help reducing the soaring prices of the edible oil on the market during Ramadan, the month of fasting for the Muslims, officials of the NBR said.
The prices of the soya bean oil and palm oil have been skyrocketing in the country in recent months following the price hike of crude soya bean oil on the international market, they said.
The NBR made the decision as per a recommendation by the commerce ministry as well as demand from the local refiners, they added.
According to the Trading Corporation of Bangladesh, a one-litre bottle of soya bean oil was sold for Tk 135-140 while five litres of packaged soya bean oil was sold for Tk 630-650 on Sunday.
The price of one-litre bottle of soya bean oil increased by 30.95 per cent within a year as the price of the item was Tk 100-110 on April 11, 2020.
Unpackaged soya bean oil sold for Tk 122-125 a litre and palm oil sold for Tk 106-110 a litre on Sunday on the country’s kitchen markets.
A year back, the price of unpackaged soya bean oil was Tk 93-95 and palm oil was Tk 73-75 a litre, showed the TCB data.
The commerce ministry on March 15 set the retail prices of edible oil for the second time at Tk 139 for a litre of bottled soya bean oil and Tk 660 for five litres packaged soya bean oil.
The price of unpackaged soya bean oil was set at Tk 117 a litre and that of super palm oil at Tk 109 a litre.
Earlier on February 17, the government set the retail prices of edible oil for the first time amid continuous price hikes of the commodity on the local market following an upward trend on the international market.
After withdrawal of AT, there are 15 per cent VAT applicable to import of the products.
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