The National Board of Revenue (NBR) has decided to discontinue free distribution of Electronic Fiscal Devices (EFDs).
From now on, the businesses will have to buy the device at a cost ranging between Tk 20,500 and Tk 24,000 each, NBR member (VAT) Dr Abdul Mannan Sikder told a programme on EFD lottery at the NBR premises on Tuesday.
The businesses will be able to pay the cost for the device at a time or in three installments.
The NBR has so far distributed 3,393 EFDs in Dhaka and Chattogram.
NBR officials said the businesses have no objection to purchasing the device at their own cost.
Talking to the FE, Mr Mannan said the NBR would exempt the service charges on EFDs for five years.
The NBR had issued free-of-cost EFDs under a pilot programme that has been successful, he added.
The NBR's selected vendor SZZT-KMMT-Synesis-EATL JV would supply the device to the businesses, he added.
However, former VAT officials expressed concern over sustainability of the EFD programme due to the sudden change in the decision.
A former VAT official said the decision would leave a negative impact on adopting the EFD as many of the businesses were not willing to install it.
"The NBR should distribute the device free-of-cost for at least three years to make people familiar with the new automated accounting system," he added.
Currently, some of the businesses who have EFDs are reluctant to use it so that they can evade VAT, he said, adding that the NBR should instead incentivise the device users.
The NBR, in an office order, has defined the method of EFD and Sales Data Controller (SDC) installation, bill preparation, payment and other issues.
The price of each EFD would be Tk 20, 533.35 and SDC Tk 24,596 each.
The EFDs are mandatory for 25 types of businesses, including shops, hotels, restaurants, sweet stores, clothing, furniture and electronics outlets and jewelers.
The NBR launched EFD in August last year replacing the earlier electronic cash register.
As per the VAT law, the NBR can take legal action in case of not using the EFD or SDC properly.
