Viewing of satellite TV channels will be costlier
Tuesday, 10 June 2008
The viewing of satellite TV channels will be costlier as the government has proposed to enhance the existing rate of supplementary duty from 15 per cent to 35 per cent for the satellite channel distributors, reports UNB.
Finance Adviser Mirza Azizul Islam in his budget speech said the local satellite TV channels are subject to payment of 15 per cent VAT on the commercials telecast on their channels whereas the foreign TV channels pay no VAT on commercials that are telecast in Bangladesh.
"Although these commercials are not directly targeted towards our local consumers, but they indirectly help creating import demands for commodities shown on these commercials."
Moreover, he said, different programmes including foreign movies are freely being shown on various local and foreign TV channels through satellite.
The proprietors or distributors of foreign TV channels are not paying the VAT applicable on commercials that are telecast on their channels depriving the government of its fair share of revenue, he added.
"In view of the situation, I propose to enhance the existing rate of supplementary duty from 15 per cent to 35 per cent for the satellite channel distributors."
Finance Adviser Mirza Azizul Islam in his budget speech said the local satellite TV channels are subject to payment of 15 per cent VAT on the commercials telecast on their channels whereas the foreign TV channels pay no VAT on commercials that are telecast in Bangladesh.
"Although these commercials are not directly targeted towards our local consumers, but they indirectly help creating import demands for commodities shown on these commercials."
Moreover, he said, different programmes including foreign movies are freely being shown on various local and foreign TV channels through satellite.
The proprietors or distributors of foreign TV channels are not paying the VAT applicable on commercials that are telecast on their channels depriving the government of its fair share of revenue, he added.
"In view of the situation, I propose to enhance the existing rate of supplementary duty from 15 per cent to 35 per cent for the satellite channel distributors."