DHAKA, April 4, 2024 (BSS) - The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) today placed a set a recommendations before the government, including that of raising the tax free income ceiling of individual taxpayers, for considering those in the budget for the next fiscal year (FY25).

The country's apex trade body proposed for raising the tax free income ceiling for individual taxpayers by Taka one lakh to Taka 4.50 lakh in the next budget and raising such tax free limit to Taka 5 lakh for the senior citizens and women considering the current inflation and the real income of low income people.

The NBR made their specific proposals in macroeconomic sector, revenue reforms, on income tax, VAT and Customs.

FBCCI President Mahbubul Alam placed the proposals while addressing the 44th NBR-FBCCI Consultative Committee Meeting on the budget for the next fiscal year (FY25) held at a city hotel.

Finance Minister Abul Hassan Mahmood Ali spoke at the meeting as the chief guest while State Minister for Finance Waseqa Ayesha Khan spoke on the occasion as special guest. NBR Chairman Abu Hena Md Rahmatul Muneem presided over the meeting.

FBCCI president Mahbubul Alam moderated the meeting while senior Vice President of FBCCI Md Amin Helaly gave the vote of thanks.

Business leaders representing various chambers, associations and sectors put forwarded their suggestions in the meeting on the next budget while three separate presentations were made on income tax, customs and VAT by concerned NBR members.

In the proposals on revenue reforms, the FBCCI president demanded for separating the operations on revenue collection and revenue policy and thus forming a trade facilitation department.

The country's apex trade body also proposed for integration and automation of tax, VAT, customs administration as well as forming a separate Large Taxpayers Unit in Dhaka and Chattogram. 

Mahbubul also proposed for setting tax offices at upazlia level to raise the number of taxpayers and thus increasing revenues.

He urged the government to give special priority on ensuring a business friendly tax management through reducing harassment and complexities in tax collection as well as ensuring transparency and good governance in various areas.

The chief of the country's apex trade body also demanded for reducing cost of doing business, ensuring investment protection, enhancing port capacity, ensuring balanced investment friendly monetary and customs management, reducing all kinds of transportation cost including shipping cost, developing permanent infrastructures in power and energy sector.

The FBCCI in its budget proposal also proposed for reducing tax at source against all kinds of exports including export oriented RMG at 0.50 percent from 1 percent and thus keep it for five years. Besides, it also suggested for reducing the tax at 5 percent from 10 percent on cash support.

Mahbubul said, "It's my belief that the the next budget would reflect a far sighted, practical, and time befitting plan to give the country's private sector a firm footing in order to face the challenges of globalization."

Taking part in the meeting, Bangladesh Textiles Mills Association (BTMA) president Mohammad Ali Khokon demanded for withdrawing VAT on recycled fiber as it could save foreign currency worth $4.3 billion.

He also demanded for ensuring uninterrupted power and energy supply to the industries as well as rolling out an exit policy from bank loans for those businesses which could not run their businesses properly due to various adversities.

BKMEA executive president Mohammad Hatem demanded for scrapping the provision for taking Advance Income Tax or adjusting it with the concerned income tax returns.

DCCI president Ashraf Ahmed suggested for taking measures to adjust Advance Income Tax in the concerned tax year.

FICCI President Javed Akhter proposed for devising a comprehensive digital architecture to mobilize more internal revenues and ensuring transparency through automation.

Former Gazipur City Corporation Mayor Jahangir Alam representing Gazipur Metropolitan Chamber demanded for reducing the harassment by the field-level officials of the NBR.