The cost of online shopping may increase as the proposed budget for the 2025-26 fiscal year increases the VAT rate on online product sales commissions from 5 percent to 15 percent.Industry insiders warn that the measure is likely to have a negative impact on the e-commerce sector. AHM Hasinul Quddus Rusho, the chief corporate affairs officer at Daraz Bangladesh -- one of the country's leading online shopping platforms, says: "The new 15 percent proposed VAT rate will significantly increase the costs of the e-commerce businesses, which will have a negative impact on both entrepreneurs and consumers. ""Previously, online sellers used to pay VAT on commission at a rate of 5 percent, which has now increased by 10 percent, so this additional cost will either have to be borne by the seller, or it will be passed on to the consumer as an additional hike in the price of the product. As a result, this threatens the future of e-commerce businesses." �"bdnews24.com

Source: bd News24 June 02, 2025 16:05 UTC