The Association of Private Universities of Bangladesh (APUB) today urged the interim government to withdraw all forms of VAT and taxes imposed on “non-profit” private universities, citing significant disparities between public and private higher education in the country.
The association issued a press statement, signed by APUB Director Belal Ahmed, in this regard today.
The APUB emphasised that unlike public universities funded by taxpayers’ money, private universities, despite being non-profit, are subjected to various taxes and VAT.
“In this anti-discrimination student movement, students from the private universities have stood alongside those who are from public universities. However, there remains a significant disparity between the two sectors,” the statement read.
However, the association pointed out that in many countries, education is provided free of charge, with governments also funding research. While this system exists in Bangladeshi public universities, private universities receive no such financial support. Instead, they are burdened with a 15 percent tax, a 5 percent VAT on purchases, a 2-7 percent sales tax, and an additional 15 percent income tax.
The association believes that redirecting the taxes currently deducted from private universities as government grants for their development could help alleviate these disparities, it said.
However, the 15 percent tax deduction significantly reduces the funds available for research, hindering academic progress, it added.
“Research is crucial for the development of the country and the education system. While other countries provide scholarships and utilise research outcomes for national development, our government deducts research funds as VAT and taxes,” the statement added.
In its statement, the association called on all concerned parties to support their demand for the withdrawal of all VAT and taxes on non-profit private universities to end the ongoing discrimination.
