First Dhaka Elevated Expressway Company Ltd (FDEE) has submitted a request to the National Board of Revenue (NBR) seeking an extension of the tax exemption period for salary and income allowances of foreign expatriates involved in this project.
FDEE Managing Director Bhaskon Khannabha sent a letter to NBR Chairman Abu Hena Md Rahmatul Muneem, urging the extension of tax exemption from July 1 of this year until June 30, 2026. This request considers the project’s constrained progress and challenging circumstances.
Previously, the NBR had granted tax exemption for salary and income allowances of foreign expatriates until June 30 of this year for their work on this project. The NBR tax policy and exemption departments are currently evaluating whether the project qualifies for another three-year extension.
An official involved with the issue, Told the Business Post, “Now, the NBR tax policy and exemption departments are together working on it whether the project get such benefit for another three years or not.”
In the letter, Bhaskon Khannabha cited uncontrollable adverse conditions such as the Covid-19 pandemic, delays in land handover, obstructions, and restricted access to the site as challenges that have affected the project’s construction progress forcing to reset the date for beginning construction three times.
As of May 2023, approximately 62 per cent of the project has been completed, thanks to the dedication of contractors and available resources, it added.
Khannabha emphasised FDEE’s commitment to finishing the project within the designated timeframe to bring economic benefits to society, the country, and Dhaka city.
The Dhaka Elevated Expressway has a total length of 46.73km, including a main elevated section spanning 19.73km and 31 ramps covering 27km at various locations. Prime Minister Sheikh Hasina inaugurated the 11.5km Kawla-Farmgate section on September 2.
The Dhaka Elevated Expressway will cover Kawla, Kuril, Banani, Mohakhali, Tejgaon, Moghbazar, Kamalapur, Sayedabad, and Jatrabari to Kutubkhali on the Dhaka-Chattogram Highway.
The project, initiated in June 2011 under a Public-Private Partnership (PPP), was initially slated for completion in 2016 but has faced multiple delays due to design changes, land acquisition issues, and financial complications. The construction cost, initially estimated at Tk 8,703 crore, has now exceeded Tk 16,000 crore.
