The Centre for Policy Dialogue (CPD) on Friday said the proposed national budget for the fiscal year 2022-23 lacks tax justice for the public.
In the proposed budget, the limit of tax-free income has not been increased while the amount of tax rebate on investing in savings certificates has been increased from 10 per cent to 15 per cent, CPD Executive Director Fahmida Khatun said in a post-budget press conference in Dhaka.
“This proves that relatively low-income people have not been given benefits.”
On the other hand, though the decision to reduce the corporate tax rate is appropriate, it will not benefit the people at the moment, she said.
“Such decisions prove that tax justice is not present in the proposed budget.”
The government has planned to keep the individual tax rate unchanged for a third straight year in the draft budget for FY23.
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Finance Minister AHM Mustafa Kamal on Thursday placed the proposed budget with an outlay of Tk 6,78,064 crore in parliament.
Despite calls from various quarters to increase the tax-free income limit for individuals, the government kept unchanged the amount of Tk 3,00,000 per annum.
However, the ceiling of tax-free income has been raised by Tk 50,000 to Tk 3,50,000 for members of the transgender community to facilitate their social inclusion.
Kamal said the tax-exempt income ceiling is even higher for females, senior citizens, physically challenged people, members of the third gender, and freedom fighters, who were wounded in the war.
