Dhaka, Jan. 14 -- Bangladesh is transitioning into a ramped-up 15-percent VAT regime amid some concerns, but a redeeming feature is the provision for rebate meant for reducing the overall tax incidence.

Officials define it as a paradigm shift as latest fiscal policies are bundling out piecemeal ratings of value-added tax on industrial raw-material imports or purchases.

Officials at the National Board of Revenue (NBR) VAT wing have said the shift has become increasingly visible over the past two years, following policy changes aimed at bringing businesses under the standard 15-percent VAT regime.

The move allows firms to claim input-tax rebates and ultimately reduce their effective tax burden.

Currently, Bangladesh applies multiple low...