This ten items are exempted on VAT in the following sectors:

a.Agricultural input and livestock sector

1. Seeds and planting materials: VAT exemption encourages farmers to access high-quality seeds
and planting materials for crop production.

2. Fertilizers: Exempting fertilizers from VAT aims to reduce the cost burden on farmers and
promote increased agricultural productivity.

3. Pesticides and herbicides: VAT exemptions on these products help farmers combat pests and
weeds effectively without additional tax costs.

4. Animal feed: Exempting VAT on animal feed supports livestock farming by making essential
feed supplies more affordable.

5. Veterinary medicines: VAT exemption ensures that livestock farmers can access necessary
healthcare products for their animals without additional financial strain.

6. Farm machinery and equipment: Certain types of agricultural machinery and equipment may
be exempt from VAT to encourage mechanization and efficiency in farming practices.

7. Irrigation systems: VAT exemptions on irrigation systems can incentivize investments in water
management infrastructure, improving crop yields and water efficiency.

8. Livestock: Some jurisdictions may exempt certain types of livestock from VAT to support
livestock farming activities.

9. Agricultural chemicals: This category includes items like growth regulators, soil conditioners,
and other chemical inputs used in agriculture, which may be exempt from VAT.

10. Agro-processing equipment: VAT exemptions on machinery and equipment used for
processing agricultural products incentivize value addition within the agricultural sector,
promoting food security and economic development.

b.ICT sector

1. Computers and laptops: VAT exemption on computers and laptops encourages access to
essential digital tools for education, business, and personal use.

2. Computer software: VAT exemptions on software aim to lower the cost barrier for businesses
and individuals to acquire essential digital applications and program.

3. Mobile phones: VAT exemption on mobile phones encourages access to communication

devices, particularly for underserved populations.

4. Networking equipment: VAT exemptions on networking equipment such as routers, switches,

and modems support the expansion of telecommunications infrastructure.

5. IT training and educational services: Exempting VAT on IT training and educational services
encourages skill development in the ICT sector and promotes digital literacy.

6. IT consultancy services: VAT exemptions on IT consultancy services support businesses in

accessing expertise for digital transformation and technology adoption.

7. Electronic payment systems: Exempting VAT on electronic payment systems promotes

financial inclusion and encourages the adoption of digital payment solutions.

8. Digital content: VAT exemptions on digital content such as e-books, online courses, and digital
subscriptions promote access to educational and entertainment resources.

9. IT hardware maintenance and repair services: Exempting VAT on hardware maintenance and
repair services encourages the maintenance and longevity of ICT equipment, supporting
businesses and individuals in maximizing their technology investments.

10. Internet services: Exempting VAT on internet services promotes internet penetration and
access to online information and communication tools.

c. Education

1. Tuition fees: VAT exemption on tuition fees for educational institutions encourages access to
formal education at all levels.

2. Books and educational materials: Exempting VAT on books, textbooks, and educational
materials supports literacy and learning by making essential resources more affordable.

3. School uniforms: VAT exemption on school uniforms helps reduce the financial burden on
families, especially those with multiple school-going children.

4. School meals: Exempting VAT on school meals and cafeteria services ensures that students
have access to nutritious food during their school day.

5. Educational software: VAT exemptions on educational software promote the integration of

technology in learning environments and support digital literacy initiatives.
6. School transportation: Exempting VAT on school transportation services facilitates access to
education for students living in remote areas or with limited mobility options.

7. Educational and training services: VAT exemptions on educational and training services
support skill development and lifelong learning opportunities for individuals of all ages.

8. Educational conferences and workshops: Exempting VAT on educational conferences and

workshops encourages knowledge sharing and professional development within the education
sector.

9. Scholarships and grants: VAT exemption on scholarships and grants helps reduce financial
barriers to higher education and promotes access to education for deserving students.

10. Educational infrastructure: In some cases, certain construction materials and services related
to educational infrastructure development may be exempt from VAT, supporting the expansion
and improvement of educational facilities.

d. Banking sector

1.Interest on loans and advances: VAT exemption on interest earned from loans and advances
encourages borrowing and lending activities, supporting access to credit for individuals and
businesses.

2. Bank charges and fees: Exempting VAT on bank charges and fees reduces the cost burden on
customers for various banking services such as account maintenance, ATM withdrawals, and
money transfers.

3. Foreign exchange transactions: VAT exemption on foreign exchange transactions promotes

international trade and facilitates cross-border financial transactions.

4. Deposit and savings accounts: VAT exemption on interest earned from deposit and savings
accounts encourages savings mobilization and financial stability.

5. Loan processing fees: Exempting VAT on loan processing fees reduces the cost of borrowing
for individuals and businesses seeking financing from banks.

6. Electronic banking services: VAT exemptions on electronic banking services such as online
banking, mobile banking, and electronic fund transfers promote digital financial inclusion and
convenience.

7. Bank-owned real property: In some cases, real property owned by banks for operational
purposes may be exempt from VAT to support the banking sector's infrastructure needs.

8. Financial advisory services: Exempting VAT on financial advisory services supports financial
literacy initiatives and encourages individuals and businesses to make informed financial
decisions.

9. ATM and POS terminal transactions: VAT exemption on ATM and point-of-sale (POS)
terminal transactions promotes cashless transactions and enhances payment convenience for
customers.

10.Interbank transactions: VAT exemptions on interbank transactions facilitate the smooth

functioning of the financial system by reducing tax-related complexities for financial institutions
engaged in interbank activities.