The National Board of Revenue on Monday reduced customs duty to 5 per cent from the existing 10 per cent on import of newsprint for newspaper industry, officials said.
They said that the new duty structure came into effect on Monday as the statutory regulatory order was issued on the day. The SRO will be made public as soon as it returns from government printing press, they added.
Officials said that the revenue board reduced the customs duty to facilitate the newspaper industry amid an increase of production cost as the government declared 8th wage board award for journalist and press workers.
Earlier in September, the information ministry and cabinet committee formed to review the recommendations of the 8th Wage Board recommended that the duty on import of newsprint for newspaper industry be reduced, saying that duty reduction would help the sector in implementing the new wage board award.
In last week of October, finance minister Abul Maal Abdul Muhith approved the NBR’s proposal for reduction of customs duty for newsprint import.
In the budget for 2013-14 financial year, the government increased duty on newsprint import to 10 per cent from 3 per cent that the industry enjoyed in previous years.
Currently, newspaper and periodical owners have to pay a total of 30 per cent duties including 10 per cent import duty, 15 per cent value-added tax and 5 per cent advance income tax for imported newsprint for the industry.
After reduction of customs duty, they will have to pay around 25 per cent taxes as other taxes will be as usual.
The existing 2 per cent customs duty on import of printing plates, an important raw material for newspaper industry, will continue.
-With New Age input
