VAT on meditation services likely

The government has proposed imposing value added tax (VAT) on meditation services in the next budget for fiscal year (FY) 2022-23 three years after its exemption.
"I propose to withdraw the existing VAT exemption on meditation services," Finance Minister AHM Mustafa Kamal said in his budget speech on Thursday.
He, however, proposed holding the decision on VAT exemption on meditation during his speech in fiscal year 2021-22, saying that a proposal was placed for the sake of mental health and controlling mind during the global pandemic.
Seven per cent VAT on meditation was first imposed in FY 2013-2014 which was withdrawn by the then finance minister in FY 2014-15, showing the grounds of enabling people to recover mental and physical illness.
The budget for FY 2018-19 proposed imposing VAT on meditation again but the finance minister held up it for next two years during the amendment of Finance Bill of the same year.