E-orange sued for VAT evasion

E-commerce platform E-orange has been accused of evading Tk 13 lakh in VAT.

On Thursday, VAT Intelligence filed a case after a drive at the e-commerce company’s head office in Gulshan.

“E-orange sells products on its online platform, but it has not paid the VAT levied on commission,” said Moinul Khan, the director-general of VAT Intelligence.

During Thursday’s drive, E-orange account statements were seized in the presence of company owner Sonia Mehjabin.

According to the VAT Intelligence calculations, the e-commerce company purchased services and products worth Tk 245.75 crore and made a profit of Tk 3.9 crore on the sales.

Tk 19.34 lakh in VAT was levied at the rate of 5 per cent on the commission. However, the company paid only Tk 6.24 lakh.

VAT Intelligence found that the company evaded Tk 13.16 lakh in VAT by concealing the actual sales information.