Relief for guardians

Here comes good news!

Guardians sending their children to English medium schools are likely to get a little relief as the government has reduced VAT on these schools to 5 percent from the existing 7.5 percent.

"We are happy to hear it. But I'm not sure whether the schools will carry out this decision. They may make it up with other fees," said Marzana Haider, mother of a nursery-going child in the capital.

"Yet, we would like to thank the government for reducing the VAT," she said.

Marzana, however, said there should not be any VAT on education as imposing of such tax was discriminatory because there was no VAT on any other medium.

Under the existing law, there is no VAT on Bangla medium schools and the government-approved English version schools that follow English textbooks published by the National Curriculum and Textbook Board.

On February 13 last year, the apex court ruled that the government cannot collect VAT from the students of English medium schools. The SC at the same time extended its stay order on the High Court verdict that declared illegal imposition of 7.5 percent VAT on tuition fees of English medium schools.

But a number of English medium schools keep collecting the VAT.

"The cost of studying at these [English medium] schools is already high. The amount [of VAT] may look insignificant to some, but it's a burden on people like us who count every penny when prices of essentials go up," said Nazmul Haque, a father whose son is studying at Sunnydale School.

He said there was a time when children from mainly well-off families studied at English medium schools. But now, many children from middle-class and limited-income families got admitted to these schools for quality education and due to a lack of seats at public schools.

The government in fiscal 2007-08 imposed 4.5 percent VAT on fees and services of English medium schools. In the budget for fiscal 2014-15, the rate was raised to 7.5 percent, striking a blow to many guardians.