Dhaka: The High Court on Tuesday issued a rule asking the authorities concerned to explain why the imposition of 7.5 percent value added tax (VAT) on the tuition fees of private universities, medical colleges and engineering universities should not be declared illegal.

An HC bench comprising Justice Sheikh Hassan Arif and Justice JN Deb Chowdhury passed the order following primary hearing on a writ petition.

On 2 September, two students of Dhaka International University and East-West University filed the writ petition challenging the legality of the notification of the National Board of Revenue (NBR) imposing the new VAT.

The Finance Division, Internal Resources Division and Education secretaries, the NBR chairman and the University Grants Commission Chairman have been made respondents to the rule which is returnable within four weeks.

AKM Salauddin Khan stood for the petitioners.

On 4 July, the NBR issued a notification imposing 7.5 percent VAT on the tuition fees of private universities and medical colleges.

Earlier, on 9 and 24 August, two other HC benches came up with two separate rules over the same issue.