HC stays VAT on English medium schools

The High Court has imposed a freeze for six months on the 7.5% value-added tax (VAT) on the tuition fees at English medium schools.

The High Court bench of Justice Shamim Hasnain and Justice Mohammad Ullah issued the order yesterday after hearing a petition filed by two parents challenging the legality of the government decision.

The court also issued a ruling asking the chairman of the National Board of Revenue (NBR) and the education secretary to explain why the decision should not be declared illegal.

The demand for withdrawing VAT on English medium schools became strong after the government decided to remove VAT on tuition fees at private universities, medical colleges and engineering colleges on Monday, following a vigorous protest by the students on the streets in the capital.

Inspired by the success of the private university students, Bangladesh English Medium School Association started pushing for the withdrawal of VAT on English medium schools as well. A writ petition was filed by the parents of two students on Wednesday.

The government imposed a 4.5% VAT on fees and services at English medium schools in 2010, which was increased to 7.5% in 2014.

However, there is no VAT on Bangla medium schools and the English medium schools that follow NCTB-approved curricula.

<SUB-HEADER> No monitoring of English medium schools, fees out of control

Parents whose children study at some of the top English medium schools in the capital complained about unregulated hike in tuition fees in these schools because there is no government agency monitoring them.

“I had to pay Tk117,000 as admission fees to admit my child in a school. The monthly tuition fee is Tk12,500 for pre-school kids!” said the parent of a student at a top English medium school in the city, requesting anonymity both for themselves and the school.

“There are other fees. Then we have to pay VAT on all those fees. On top of that, there are other expenses such as books, stationeries, transportation and extra-curricular activities.”

A mother of a fourth-grade student in another reputed school said: “School authorities increase tuition fees on a monthly basis, which is a burden for us.”

Another parent told the Dhaka Tribune: “These English medium schools follow the curriculum set by the British secondary school authorities, conducted by the board of British Council. But the schools here are not unified – they do not follow a common syllabus for each subject, or the same set of textbooks. These are privately run.

“And since these are private schools without any higher authority to govern them, they do whatever they please.”

The angry mother said education must not be divided into Bangla medium, English medium, English version or madrasa education. “And imposing tax on any form of education is completely unacceptable.”

Another guardian said: “Paying Tk8,000-10,000 in monthly school fees is a burden for most parents. We urge the government to put a set of regulations in place for the English medium schools. Fix the fee structure, and withdraw VAT on school education.”

All the parents above wished to remain unnamed and requested the Dhaka Tribune not to mention the names of the schools, too.