Search engine giant Google has submitted Tk2.29 crore in value added tax (VAT) to Bangladesh for the first time, just a few days after Facebook did the same.
The PricewaterhouseCoopers (PWC) Bangladesh filed the VAT returns on behalf of Google at the Dhaka South Custom, Excise and Vat Commissionerate on Thursday morning, Additional Commissioner Promila Sarkar told The Business Standard.
Google's VAT returns for May and June were Tk55.77 lakh and Tk1.73 crore respectively, she added. On 29 July, another tech giant Facebook filed Tk2.44 crore in VAT returns to Bangladesh for June.
In May, Google officially took the Business Registration Number (BIN) as a non-resident organisation from the Dhaka South VAT Commissionerate – which is a mandatory requirement for any business operating in Bangladesh.
Without having to open physical offices in the country, Facebook, Google, Microsoft and Amazon received their VAT registration from the National Board of Revenue (NBR) last month.
Google currently operates in 40 countries around the world, having set up 70 offices, while Amazon has offices in 17 nations. Both companies have local offices and entities in India, including the biggest office of Amazon in Hyderabad.
Google is well known for its popular search engine, email service, web browser, and various online tools used daily by billions at work, at home, and on the go. The bulk of Google's 181-billion-dollar revenue in 2020 came from its proprietary advertising service, Google Ads.
Included in the list of "other revenues" is income from related online, media, and cloud computing businesses such as the Play Store, Chromecast, Chromebooks, Android, Google Apps, and the Google Cloud Platform.
In November last year, the High Court directed authorities concerned to collect all kinds of due revenues, VAT and tax from internet-based companies including Facebook and Google.