VAT on online sales commission increased to 15%

The government has increased the VAT rate on commissions earned from online product sales from 5% to 15%, Finance Adviser Dr. Salehuddin Ahmed announced on Monday.

This announcement was part of the proposed budget for the fiscal year 2025-2026, presented at 3 PM on Monday. Due to the absence of the National Parliament, the budget was simultaneously broadcast via state-run BTV and other private media outlets.

This budget is the 54th in the country’s history and the first under the interim government led by Professor Muhammad Yunus.

Traditionally presented in Parliament, this year’s budget announcement was made through broadcast media since the Parliament is not in session. The proposed budget totals 7.90 lakh crore taka, which is 7,000 crore taka less than the previous fiscal year. Earlier today, the Advisory Council approved the budget proposal.