Superstore owners are required by the new rule to sell goods at the printed retail price, which already includes a 15% VAT.
Superstore shoppers will no longer be required to pay extra Value Added Tax (VAT). The retail price listed on the product can be used to make purchases.
On February 9, the National Board of Revenue (NBR)’s VAT department released a notification about this, which was signed by Barrister Md. Badruzzaman Munshi, NBR’s Second Secretary (VAT Law and Regulations).
Superstore owners are required by the new rule to sell their goods at the printed retail price, which already includes a 15% VAT. They will claim input VAT credits from earlier phases and pay VAT on their value addition.
Previously, VAT rates on superstore shopping varied between 1.5%, 2%, and 5%, which was later set at 7.5%. Following objections from chain superstore owners and discussions with the NBR, the new rule has been introduced.
The NBR is reviewing the list of essential goods that are VAT-exempt at the production stage but subject to VAT at the business stage to ensure consumers do not bear additional tax burdens.
