DCCI for 2.5pc corporate tax cut for non-listed cos

Staff Reporter :
Dhaka Chamber of Commerce & Industry (DCCI) proposed for 2.5 per cent corporate tax cut for the non-listed companies and to increase the tax free income limit for individuals to Tk 5 Lakh from Tk 3 Lakh considering high inflation and increased cost of living.
It also placed a set of budget recommendations focusing on easy and business friendly taxation system, widening income tax and vat net, full automation of taxation system, encouraging local industrialization and ensuring investment friendly ecosystem to boost economic growth.  
The DCCI President Md Sameer Sattar placed the proposals at a pre-budget discussion with the Chairman of the National Board of Revenue (NBR) Abu Hena Md Rahmatul Muneem at the latter’s office in the city on Sunday.
In the written speech, it s tated that the country’s tax-GDP ratio is very low as only 3 million Tax Identification Number (TIN) holders submit their returns.
Tax net should be widened to include persons residing outside Dhaka and Chattogram as most tax collection comes from these areas, he said.
He also proposed for an “Integrated Tax Administration System” and “Integrated VAT Administration System” in order to ensure full automation of taxation and VAT ecosystem in the country.
The DCCI president also recommended increasing the maximum limit of annual turnover to Tk 4 crore from Tk 3 crore for cottage and small businesses who are out of VAT purview. Proposing for withdrawing excise duty on bank deposit, he said, “The banks charge 10 per cent
to 15 per cent source tax on deposits. Additionally, imposing excise duty on deposit and savings will discourage deposits in banks.”
NBR Chairman Abu Hena Md Rahmatul Muneem said that they are regularly arranging trainings for C&F officials in order to reduce mistakes in using HS code.
“If the businessmen want, they can avail advance ruling in this regard and urged the business community to be aware regarding using correct HS code,” He added.
He informed that NBR has taken various initiatives to simplify doing business environment in the country and its position will be strict regarding compliance issue.
He also sought cooperation from the business community to ease the business climate more in the country.
Bangladesh Single Window will effectively be implemented by the end of 2025, he added.