Written by The Banking Post
The National Board of Revenue (NBR) has decided to eliminate all import duties on electric school buses, fast-tracking a key government initiative to reduce fuel consumption in the transport sector.
“This is the first phase of a broader plan to promote energy efficiency in public transportation,” NBR Chairman Md Abdur Rahman Khan said during a pre-budget discussion for the 2026-2027 fiscal year at the Revenue Building in Dhaka.
Unlike many fiscal measures that await the national budget, the duty waiver will take effect immediately. A Statutory Regulatory Order (SRO) will be issued shortly to formalise the exemption. “We will not wait for the upcoming budget to implement this initiative,” the Chairman added.
Industry representatives, including members of the Bangladesh Automobile Assemblers and Manufacturers Association (BAAMA) and the Bangladesh Reconditioned Vehicles Importers and Dealers Association (BARVIDA), proposed lowering EV registration costs by clarifying definitions based on engine CC and kilowatts.
The NBR Chairman also acknowledged that VAT refunds have been delayed for a year and a half due to the lack of an automated system and pledged to resolve the issue as operations move online.
While the NBR rejected requests to cut taxes on jet fuel—citing theft prevention concerns—it emphasised balancing environmental goals with revenue requirements. Requests for zero-duty imports of truck chassis to replace older vehicles were also set aside for now.
The meeting drew participation from leaders across the transport, motorcycle, shipbuilding, and aviation sectors, highlighting the government’s broader push to modernise and green the transport industry.
