EV Ease: Govt Cuts Duties on Electric Buses and Trucks
The government has decided to grant significant duty and tax exemptions on the import of electric buses and trucks to strengthen environmentally friendly transportation in the country. Under specific conditions, these vehicles can be imported with minimal taxes until June 30.
The proposal was approved at a cabinet meeting held at 7:00 pm on Sunday (May 3) in the Cabinet Room of the National Parliament Building. The meeting was chaired by Tareque Rahman.
According to the cabinet decision, new electric buses with a minimum seating capacity of 17, falling under HS Code 87.02.40.00, will be exempted from all types of duties except VAT—including customs duty, regulatory duty, supplementary duty, advance tax, and advance income tax. As a result, the total tax burden for importers will be reduced to 15 percent.
The same benefit will also apply to the import of new electric trucks with a capacity of 5 tons or more. A gazette notification in this regard will be issued soon by the Internal Resources Division.
As per the cabinet decision, this facility will be applicable to the import of completely new electric buses with a minimum seating capacity of 17.
Stakeholders believe that once implemented, this initiative will reduce the country’s dependence on fossil fuels and help establish an environmentally friendly transport system, alongside lowering carbon emissions.
Earlier in April, several other important cabinet meetings were also held at the Parliament Building chaired by Prime Minister Tarique Rahman.
DBTech/MI/EK/OR
