Bangladesh VAT compliance update
- 15 June 2014 | Richard Asquith
The latest Bangladeshi budget contains a range of changes to the compliance regime to help reduce the administrative burden for companies. The current Bangladeshi VAT rate is 15%.
The compliance changes include:
- A limit of the levels of fines for VAT evasion now set to 50% of the value of the goods concerned. Previously there had been no upper limit.
- Phased withdrawal of the complex base value systems for calculating VAT on a number of goods and services
- Introduction of online VAT returns and VAT registrations through a special portal
- Reclassifications to higher reduced VAT rates of many services
- Imported mobile phones will be subject to 15% VAT instead of 10%