VAT on private university fees
Friday, 11 September 2015
The government recently imposed VAT on private university managements on fees collected from the students. Apparently, there is nothing wrong with this. But as has always been the case, any tax imposed on a commodity is ultimately paid by the consumers. The same thing has happened in case of private universities also where ultimately the students are paying the VAT which was supposed to be paid by the university authorities. As a result, the students and guardians are on the streets demanding the newly-imposed VAT to be withdrawn. I understand, this does not augur well with a progressive government, as this is putting an extra pressure on the guardians who are sending their children to private universities for better education. The common perception that all students coming to private universities are from well-off families, is not true. Most of the students come from middle class background. I hope that the government will realise that this additional VAT tax will only increase the burden of the guardians. Many students struggle to manage their university fees regularly. My son, who studied in a private university, had to work as a private tutor for couple of school students to manage his university fees, as I could not afford his entire fees from my limited income source. As a guardian of a middle income family, I was unable to fully support him. I hope the civil society will also join their hands with the students of the private universities and request the government to withdraw the VAT imposed student fees. The private universities are doing a good job in our education sector and many of them are maintaining a high standard. I hope good sense will prevail and the VAT on student fees shall be withdrawn soon.
Masud Rana
Dhanmondi, Dhaka