Four investment authorities, including Bangladesh Economic Zones Authority (BEZA) and Bangladesh Investment Development Authority (BIDA), have urged the National Board of Revenue (NBR) to fix the corporate tax rate at 25 per cent for the fiscal year 2022-23.
They made the call the proposal during a pre-budget meeting with NBR Chairman Abu Hena Md Rahmatul Muneem on Thursday at his office in the capital.
Representatives from Bangladesh Export Processing Zones Authority (BEPZA) and Bangladesh Hi-Tech Park Authority (BHTPA) were also the meeting.
Presenting budget proposal at the event, BEZA Deputy Secretary Mohammad Rezaul Hoque said the current corporate tax rate is at 30 per cent in Bangladesh, but should be fixed 25 per cent.
“NBR has reduced corporate tax rate 50 per cent from 35 per cent to 30 per cent in the last two years. We appreciated it. Many investors requested us to reduce the rate further to bring parity with our neighbouring countries,” he added.
India has recently fixed 15-25 per cent corporate tax from 22-30 per cent, while it is 20 per cent in Vietnam and Thailand as well as 25 per cent in China.
Similarly, BIDA Director General Shah Mohammad Mahboob said, “Total taxes – corporate, advanced and sources taxes – sums up to 40-45 in our country. But, global corporate taxes average is 21-24 per cent. Hence, it is 24 per cent in Malaysia and Indonesia 25 per cent. So, the rate should be reduced in Bangladesh.”
He also urged NBR to bring different international online media and social media including Amazon, Facebook and Google under its corporate tax net.