Private varsity students demand cancellation of VAT on education
Claiming that education is not a product, but a right, students of private universities have threatened to intensify their movement demanding cancellation of value added tax (VAT) on education.
The agitators will organise demonstrations to press their demand in front of the Jatiya Press Club in the capital at 2pm on Sunday, announced the No VAT on Education platform at a press conference yesterday. The press conference was held next to the University of Liberal Arts Bangladesh (ULAB) in the capital.
In his budget speech on June 4, the finance minister proposed a 10 per cent VAT on private universities and medical and engineering colleges. Soon thereafter, the students of private universities vented their ire, demanding cancellation of VAT on education.
While tabling the budget in Parliament on June 4, finance minister AMA Muhith imposed 10 per cent VAT on private universities and medical and engineering colleges. But on June 29, while passing the Finance Bill, 2015, the finance minister reduced the VAT on all private universities and medical colleges and engineering colleges to 7.5 per cent from the proposed 10 per cent.
Unhappy with the development, however, private university students launched a movement in protest, and went on to hold demonstrations through human chains, rallies, etc., demanding complete cancellation of the VAT on education.
When public universities do not have enough seats and the national university has failed to provide a congenial environment for education, some people avail of higher education from private universities, after spending their hard-earned money, they argued.
But the government is depriving students of their fundamental right by imposing VAT on private universities and other institutions, they alleged.
In 2010, too, the government had imposed a 4.5 per cent VAT on private universities, but was forced to withdraw the decision in the face of severe student unrest.
