Four-tier duty structure replaces three-tier one
Tuesday, 10 June 2008
Aiming to accelerate the development of the domestic industries in a bigger way, the caretaker government restructured the duty structure into a four-tier system of levying duties instead of the existing three-tier one, with further cutbacks on rates for capital goods, reports UNB.
As a measure to offset high prices of consumer goods, the zero-rated duty on foodstuffs as well as fertiliser, medicines and raw cotton will continue as before, Finance Adviser Dr Mirza Azizul Islam proposed in the new national budget presented Monday.
Under the new taxing measures, the import of capital machinery and spare parts will enjoy three per cent duty, down from present five per cent.
The government also reduced the duty on basic raw materials from 10 per cent to seven per cent, and on intermediate raw materials from 15 per cent to 12 per cent. The highest slab for finished products remained unchanged at 25 per cent.
As a measure to offset high prices of consumer goods, the zero-rated duty on foodstuffs as well as fertiliser, medicines and raw cotton will continue as before, Finance Adviser Dr Mirza Azizul Islam proposed in the new national budget presented Monday.
Under the new taxing measures, the import of capital machinery and spare parts will enjoy three per cent duty, down from present five per cent.
The government also reduced the duty on basic raw materials from 10 per cent to seven per cent, and on intermediate raw materials from 15 per cent to 12 per cent. The highest slab for finished products remained unchanged at 25 per cent.