The National Board of Revenue (NBR) has announced that Value Added Tax (VAT) will not be applicable on Dhaka Metro Rail tickets.
This directive, issued on Monday, exempts the ticket fares from VAT until December 31 this year.
The decision, effective immediately, aims to make metro travel more affordable and increase its popularity among commuters.
Metro travel to be cheaper as VAT exemption reinstated
In its order, the NBR says, "Metro rail is Bangladesh's most modern and popular public transport system. In addition to playing a crucial role in reducing traffic congestion, it significantly contributes to saving valuable working hours. To make the metro rail more attractive, it is necessary to make its fares more affordable."
The order also states that metro rail, characterised as a fast, safe, time-efficient, environmentally friendly, and technologically advanced transportation system, deserves to be exempt from VAT to ensure its broader accessibility and appeal.
Officials said that this initiative is expected to encourage more people to use the metro rail, promoting sustainable urban transport while reducing the financial burden on daily commuters.