The National Board of Revenue (NBR) has lifted the excise duty on air tickets for next year’s Bangladeshi Hajj pilgrims, which may reduce Hajj expenses.
Additionally, the VAT on passenger security fees, embarkation fees, and airport security fees has also been withdrawn.
NBR issued an order regarding this exemption on Monday.
However, this is not the first time that the excise duty on Hajj pilgrims' air tickets has been waived. The NBR has exempted this tax multiple times in the past.
Generally, airlines collect travel taxes or excise duties at the time of ticket sales and deposit them into the government treasury.
Currently, there is a Tk4,000 excise duty on air tickets for Saudi Arabia-bound flights, which has now been waived for Hajj pilgrims.
Additionally, Tk2,000 Taka duty applies to flights within Saarc countries; Tk4,000 for tickets to countries outside of Saarc; and Tk6,000 for flights to North America, South America, Europe, Africa, Australia, New Zealand, Japan, Hong Kong, North Korea, Vietnam, Cambodia, Laos, and Taiwan.
The holy Hajj is expected to take place on June 4 in Saudi Arabia, subject to the sighting of the moon.
This year, 127,198 people from Bangladesh will have the opportunity to perform Hajj.