Finance Minister AMA Muhith, in the national budget for 2014-15 fiscal year, propose slapping 15 percent VAT on mobile phones at the import stage in a bid to flourish the local companies. Consequently, the mobile phone handsets are getting costlier than that of the previous years. Presenting his new budget in the Jatiya Sangshad on Thursday, the minister said that the move aimed at helping the local industry flourish.”Some companies are assembling quality mobile phones in the country. They have to pay 15 percent VAT at the assembling stage. “On the other hand, there is only 10 percent VAT on imports of mobile phones. This has created uneven competition between local assembling industries and imports,” he said in Parliament.He then went on to propose slapping 15 percent VAT on mobile phones at the import stage. The budget will be passed on June 29 after the MPs discuss.
