Local manufacturers of cylinders for Liquefied Petroleum Gas will enjoy the rate of 5 per cent value added tax on the imported materials used to make cylinders for another year.
Finance Minister AHM Mustafa Kamal made the announcement in his budget speech on Thursday.
“To keep the existing momentum of growth of local industries, I propose to continue VAT exemption facilities with extension of existing 5 per cent VAT rate for manufacturing of LPG cylinder for another year,” he said.
Earlier on September 24, 2020, the National Board of Revenue issued on order lowering VAT to 5 per cent from 15 per cent to promote local manufacturers and reduce dependency on imported cylinders which will expire on June 30.
