VAT on tuition fees
Decision may be reviewed, says Muhith
Finance Minister AMA Muhith yesterday hinted that the government may review the decision to impose VAT on tuition fees of private university students and said the government did not take a rigid stance over the issue.
We have not taken a rigid position on the imposition of VAT and the complications that have arisen at private universities... We have reviewed many issues in the past six years, the minister told reporters yesterday afternoon at the secretariat.
The minister made the statement at a time when traffic remained halted in many parts of the capital, causing much suffering for the commuters, as roads remained blocked throughout the day by students of private universities demanding withdrawal of a 7.5 per cent VAT imposed on their tuition fees.
We will reach an honourable solution to these complications soon, the minister added.
Commerce Minister Tofail Ahmed was also present there, who termed the issue important and said it will be resolved very soon.
Students of private universities have been organising protests since the budget for the 2015-16 fiscal year imposed a 7.5 percent value added tax (VAT) on tuition fees of students of the private universities, medical and engineering colleges.
After police on Wednesday clashed with agitating students of East West University in Rampura, the protests intensified on Thursday and students of many private universities took part in demonstration at various intersections in the capital, severely disrupting traffic movement throughout the day.
Students also took to the streets yesterday and blocked many intersections, causing severe traffic gridlocks.
