Noab demands withdrawal of newsprint import tax

Staff Reporter :
The Newspaper Owners Association of Bangladesh (Noab) has demanded withdrawal of taxes on import of newsprint as well as cancellation of advance income tax (AIT).
It has also demanded exemption of employees income tax considering current situation of the country’s newspaper industry.
Noab leaders came up with the demands at a pre-budget discussion with the National Board of Revenue on Thursday.
Highlighting the newspaper industry’s present scenario, Noab President AK Azad said, “Currently, the newsprint import duty is 5%, value added tax (VAT) is 15% and advance income tax (AIT) is 5%. It is of grave importance to withdraw the duties considering the crucial situation of the industry.”
Moreover, newspaper owners have to pay 4% tax deduction at source (TDS) on advertisement income.
According to Noab, the duties of AIT and TDS jointly stands at 9% whereas most newspaper outlets do not have a 9% profit.
Mentioning that tax paid in advance by the organisation goes as arrears to the government, Noab leaders demanded to withdraw the duties. They also called upon the government to reduce corporate tax on newspapers to 15% from existing 27.5% for the survival of the ailing newspaper industry.
NBR chairman Abu Hena Md Rahmatul Muneem, who presided over the meeting, assured of the refund of taxes. He said, “From now on, taxes will not be coordinated; rather it will be refunded. The officials concerned have been given directions in this regard.”
Regarding tax fear and harassment of taxpayers, the NBR chairman said tax fear is a major obstacle to expanding the tax net.
The chairman acknowledged that audits are a major source of tax fear.
Stating that NBR is preparing a manual to eliminate this fear of audit, he said the manual will guide audits in a way that does not create anxiety for taxpayers, as audits will only be conducted after obtaining secondary data and evidence.
Association of Television Channel Owners (ATCO) Vice President Iqbal Sobhan Chowdhury said, “Since taxpayers are penalised for not paying on time, the NBR should also be penalised for not paying refunds timely.”
He also urged NBR to stop harassing taxpayers and improve facilities for those who are diligent in paying taxes.
Among others, Noab members The Daily Star Editor and Publisher Mahfuz Anam, Prothom Alo Publisher and Editor Matiur Rahman, Noab treasurer Matiur Rahman Chowdhury were present at the discussion.