Laptop, luxury motor vehicles to get costlier in FY23 budget

Finance Minister AHM Mustafa Kamal has proposed to impose 15 per cent value added tax (VAT) on imports of laptops imports to promote domestic computer manufacturers.

“Laptop computer imports are subject to VAT exemption. As a result, domestic computer manufacturers are facing uneven competition,” he said, adding that the total tax incidence of the product will now be 31 per cent.

To promote “Made in Bangladesh” branding worldwide and to protect the investment of domestic manufacturing industries, he also proposed to withdraw the concessions on import of printers and toner cartridges.

This will help local manufacturers to reach the target of exporting digital devices, he said while proposing budget for the next fiscal year 2022-23 in the Parliament.

For the protection of domestic computer, laptop and ICT product manufacturers, the finance minister proposed to expand the concession facility for import of raw materials for computer accessories and ICT industry.

He also proposed to include a few more raw materials which are used in the production of computer and computer equipment in the existing SRO for Hi-Tech Park.

In order to save foreign currency, discourage and control import of luxury goods and to rebuild the post-COVID economy, it is recommended to increase the total tax incidence by imposing supplementary duty on high-end luxury motor vehicles and jeeps along with chandeliers and light fittings at the import stage, he said.