Bangladesh Chamber of Industries has proposed a uniform 0.1% source of tax for all exporters of the country from the existing 1% and they also proposed to fix income tax at 10%.
Anwar Ul Alm Chowdhury (Parvez), president of the BCI, proposed this while speaking at a meeting with Abu Hena Md Rahmatul Munim, chairman of the National Board of Revenue (NBR) regarding the upcoming budget of FY2023-24 on Wednesday.
He also said that the corporate tax rate in Bangladesh is much higher than that of neighboring countries and proposed to reduce the corporate tax gradually by a 2.5% rate in every phase without any conditions.
He further proposed to increase the current private tax-free income limit to Tk5 lakh considering inflation and cost of living.
He also proposed a 2% tax rebate for the eco-friendly and green-certified industries.
As the cost of supply and production of goods has soared due to inflation, he urged to increase the upper limit from the existing Tk3 crore to Tk4 crore in the annual turnover of businesses outside the scope of VAT.
He also proposed to reduce the existing tax rate in the range of 0% to 5% on the import of raw materials used in the production of products of VAT-registered daily essential food products manufacturing companies and to reduce it in the range of 0%-3% for importing raw materials for all industries.
He also urged to take policy for the disbursement of special funds for young entrepreneurs.
In the midst of Russia Ukraine war, global recession, and dollar crisis, the government’s national development goals, prospective plan 2021-2041, achievement of SDG goals-2030, the process of transition from a least developed country to a developing country in 2026, and the 4th industrial revolution, the budget of FY2023-24 will work as a guide to meet these challenges, he hoped.