- NBR will no longer provide VAT exemptions to USAID projects if funding stops.
- NBR previously exempted VAT on goods and services for USAID projects under the “Government to Government Protocol”.
- NBR amended the provisions regarding USAID projects following the announcement of the end of funding by the Trump administration.
- VAT exemption will be cancelled for projects with expired funding.
- New projects will qualify for the exemption.
- The exemption was amended to ensure that funded projects are automatically added and projects with expired funding are automatically removed.
- There are a few projects whose products have been supplied and will now get VAT exemption instead of coupons.
- President Donald Trump has suspended almost all types of foreign aid for 90 days.
- The Trump administration will review whether US aid abroad is consistent with President Trump’s foreign policy principles.
- A decision will be made on whether to continue, modify or end the aid programme.
- Washington provided $72 billion in foreign aid in 2023.
Source: observerbd.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
