FBCCI seeks investment friendly budget for FY24

Staff Reporter :
Representing our expectation, the upcoming budget for the financial year of 2023-24 should ensure the investment friendly atmosphere to promote public welfare in a greater context, MD Jashim Uddin, the President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) told to The New Nation on Wednesday.

The FBCCI President urged the government to cope with challenges of LDC graduation, saying the overall tax structure should be proportionate, especially following the methods used by World Trade Organisation (WTO) and World Customs Organisation (WCO).

The government should not withdraw the tax exemption facility from all sectors in one go in the upcoming budget, considering the economic importance and impacts of the exemption on the sectors that have been enjoying the facility, he remarked.

The FBCCI President made some proposals to the government for upcoming budget, including establish the National Single Window (NSW) to deliver all trade related facilities by a single agency.

He urged the government for supplying tax-free subsidised electricity, water and gas to facilitate productivity and equalising the facility in payment of duty and taxes for both domestic and international investment.

Customs management should be transformed into the digitally integrated structure along with introducing central bond system within a year, he told.
He also proposed the government to expand the tax net rather than increase the tax rate for increasing the revenue collection in the next budget.
He urged the government to bring down the source tax on export receipts to 0.25 per cent from the existing 1.00 per cent, introducing electronic VAT challan and strengthening Alternative Dispute Resolution (ADR) for quick remedies.

The Government should withdraw the existing source tax on imported daily commodities like rice, wheat, onion, salt, edible oil, sugar etc.
Simplification of the procedures for tax refund and subsidy payment should be introduced as the current process is time-consuming, he added.

Considering the current inflation and overall economic situation, Jashim Uddin demanded increasing the threshold of individual tax payers to taka four lakh from the existing taka three lakh.

Accelerating the revenue collection, the establishment of income tax offices at the upazila level is required, he urged.