Association of Private Universities of Bangladesh (APUB) today called
upon the government to reconsider its decision to impose VAT on the
universities.
The private universities are run by trustee boards and value added
tax (VAT) is not applicable to the universities, said Sheikh Kabir
Hossain, president of the association.
Speaking at a press briefing after a meeting of the association in
Dhaka this evening, he called upon the students to stop their
demonstrations.
Sheikh Kabir said, “If the issue is not resolved, the association
would seek interference of the prime minister and finance minister.”
The government slapped 7.5 percent VAT on private universities, and
medical and engineering colleges in the current budget, sparking
widespread criticisms.
Protesting the VAT, the private university students have started
demonstrations, prompting the finance minister and the National Board of
Revenue to give clarifications.
Despite widespread protests and demonstrations that stalled traffic
for hours and created a nightmare for Dhaka city commuters yesterday,
Finance Minister AMA Muhith categorically said the government would not
withdraw the VAT imposed on the private universities.
"The universities will have to pay it without increasing the tuition
fees and it cannot be collected from the students," he said at a press
briefing in Sylhet.
Similarly, the NBR said it is the private university authorities, not the students, who would pay the VAT.
"The VAT has been imposed not to be collected from the students. The
VAT is included within the existing tuition fees. The responsibility of
paying the VAT is solely on the university authorities, never on the
students," the NBR said in a press release yesterday.
It, however, did not clarify why the government made a fresh
announcement of the VAT imposition if it's already included in the
tuition fees.
