Tag Archives: Tax

NBR to go tough against errant TIN holders


MNA Business Desk: As the submission of income tax returns was not found to be satisfactory against the total taxpayers identification numbers (TINs) this year, the National Board of Revenue (NBR) has decided to be tough against the errant taxpayers. According to NBR data, only 2.2 million of the 4.6 million TIN-holders submitted tax returns this year. “This is disappointing, and there’s no option but to be tough against the errant TIN holders,” a senior NBR official said. He said a large number of people used to take TINs just to complete their necessary works where its submission is mandatory. ...

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5% tax for up to 5lac investment in savings certificates


MNA Business Desk: Finance Minister AHM Mustafa Kamal has said five per cent tax at source will be applicable from July for investment of up to Tk 500,000 in all types of savings certificates. “We’ll take tax at source at 5 per cent rate against all types of savings certificates, including family savings certificates, up to Tk 500,000 and an SRO will be issued soon in this regard making it effective from July 1, 2019,” the minister said. Mentioning that the existing scheme for the pensioners would remain intact, Kamal said that the tax rate would be 10 per cent ...

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Advance Tax puts importers in a tight spot


MNA Business Desk: Importers said they have been bleeding after the slapping of a 5.0 per cent advance tax (AT) on imports, effective from July 01. Many importers said they require extra money to pay it at a time when the banking sector is facing liquidity crunch. Liquid assets of the banks plunged by Tk 175.3 billion last June to Tk 2.5 trillion, according to Bangladesh Bank. According to importers, this is creating an uneven competition in the economy as some privileged zones/areas are enjoying multiple tax exemptions. This is a problem for those who enjoy exemptions from giving value-added ...

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BSEC seeks tax on future reserves


MNA Business Desk: The securities regulator has suggested imposing tax on the profit to be transferred as reserves from next year by the listed companies. However, tax will be applicable only to companies that will fail to disburse a minimum amount of cash dividend. The Bangladesh Securities and Exchange Commission (BSEC) proposal aims to encourage cash dividend disbursement. A large number of companies are reportedly retaining profits without disbursing dividend to shareholders. It has also urged the National Board of Revenue (NBR) to withdraw the proposal to levy a 15-per cent tax on stock dividend. The proposals came in the ...

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Co-operatives call to withdraw 15 per cent income tax


MNA Business Desk: Co-operative leaders have urged the government policy-makers including the Ministry of Finance to withdraw 15 per cent income tax on co-operative societies. The Co-operative Credit Union League of Bangladesh Limited (CCULB) in a statement signed by its Chairman Jonas Dhaki and Secretary Emdad Hossain Malek, said the existing income tax had been hampering the socio-economic development of distressed and under-privileged people. The 15 per cent tax was imposed on the income of co-operative societies since 2015. As a result, the formation of capital by small -income societies through small savings, creation of employment, poverty reduction and domestic ...

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NBR to scan TIN holders skirting tax returns


MNA Business Desk: The National Board of Revenue (NBR) will find out the TIN (tax-payers’ identification number) holders who are not submitting tax returns despite having taxable income, its chairman said. Mosharraf Hossain Bhuiyan said some people use TIN for different purposes, including for house purchase, but do not submit tax returns. “We will see whether the TIN holders are submitting tax returns,” he said. He made the announcement at a pre-budget meeting on Monday. The NBR chairman, however, said the tax authority will not take any steps that would hurt business. NBR member (income tax policy) Kanon Kumar Roy ...

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ICAB suggests 2.0pc cut in corporate tax


MNA Business Desk: The Institute of Chartered Accountants of Bangladesh (ICAB) Sunday suggested 2.0 per cent cut in the corporate tax in the budget for the next financial year (FY). Investors would be encouraged to invest more funds following such cut and help generate additional employment opportunities. Corporate tax rate in Bangladesh is one of the highest in this region, contributing to flight of capital abroad. The apex body of chartered accountants shared its thoughts on the National Budget 2019-20 at a press conference on its premises. ICAB president AF Nesaruddin delivered opening remarks while taxation and corporate laws committee ...

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Facebook, YouTube ads to be taxed


MNA Business Desk: The government has decided to collect 15 per cent value added tax (VAT) from the advertisements on internet platforms like Facebook and YouTube. The authorities have not been collecting any tax from the Bangladeshi advertisers of the virtual world until now. The government moved recently to collect the taxes following a High Court order. The court on April 12 last year ordered the authorities to tax the transactions on Bangladeshi advertisements posted on Google, Facebook, YouTube and other similar websites. In a letter to the Bangladesh Bank on January 22, the National Board of Revenue (NBR) asked ...

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Govt to introduce E-chalan to collect VAT, tax

income tax

MNA Business Desk: The government will introduce E-chalan soon for collection of VAT and income tax. Finance secretary Muslim Chowdhury informed the media this at city function Sunday to inaugurated ‘e-chalan’. State minister for finance and planning MA Mannan inaugurated the ‘e-chalan’ at a programme held at the finance ministry. Muslim Chowdhury also said if all payments of the government are made through electronic system, the money is deposited to the government exchequer timely and properly and people will also get rid of sufferings. The government has introduced ‘e-chalan’ to facilitate people to pay fees for online passport, police verification ...

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e-TIN holders stand at 27 lakh across the country


MNA Business Desk: The number of total e-TIN (electronic Tax Identification Number) holders in the country has stood at 27 lakh. “NBR has registered a total of 27 lakh e-TINs till February 1 this year, which is a record in NBR’s lifetime,” National Board of Revenue (NBR) chairman Md Nojibur Rahman told news agency. “It is really a milestone. We have a target of bringing three lakh fresh people under tax net in the current fiscal year and NBR have already achieved this target,” he added. He said NBR is hopeful of increasing the number of e-TIN holders to 30 ...

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SC ordered BRAC to pay Tk. 404 crore


MNA Business Desk: The Appellate Division of the SC (Supreme Court) ordered the authorities concerned of BRAC to pay Tk. 404 crore to the government as unpaid income tax. An appeals bench led by Chief Justice Surendra Kumar Sinha on Wednesday has upturned the High Court verdict on BRAC from giving taxes after announcing it a public welfare institution on 14 December 2014. Barrister Rokan Uddin Mahmud and advocate Mohammad Asaduzzaman stood for BRAC, while deputy attorney general advocate Rashed Jahangir Shubhro represented the state. It delivered the verdict after BRAC had submitted 11 income tax reference applications challenging as ...

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Finance bill passed with 0.7pc source tax for exporters


MNA Business Desk: Finance bill has been passed with 0.7pc source tax for exporters. The National Parliament on Wednesday passed the Finance Bill, 2016 with some changes and limiting tax at source on export incomes. The tax at source on export earnings will be 0.7%, down from 1.5% in the suggested budget for 2016-17 fiscal. It was 0.6% in the outward fiscal year. The proposed 15% VAT was completely withdrawn on the rent or place and establishments of the ICT-related service organizations. AMA Muhith, Finance minister, moved the bill which was passed by voice vote. Muhith explained his high expectations ...

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