DHAKA, Feb 9, 2022 (BSS) - Metropolitan Chamber of Commerce and
Industry (MCCI) leaders today urged the government to set the
corporate tax rates in Bangladesh in line with regional competitor
countries.

  The MCCI leaders made the call at a pre-budget discussion with the
officials of the National Board of Revenue (NBR) at the tax
administration office in Dhaka.

   NBR Chairman Abu Hena Md Rahmatul Muneem presided over the meeting.

  While placing a budget proposal for fiscal 2022-23, MCCI President
Md Saiful Islam said although the government has been reducing
corporate tax rates over the past two years it is still higher than
the neighbouring countries.

   He also said that expenses and tax dedication at source are so high
that the businesses cannot enjoy the benefit of a 5 per cent reduction
of corporate tax.

   "Here (in Bangladesh) disallowed expenditure as well as tax
deduction at source (TDS) is so high that traders are not receiving
the benefits of the 5 percent tax cut. In the case of public limited
companies, the corporate tax rate is 22.5percent, but in some cases it
ranges from 40-50 percent," he added.

  The NBR chairman observed that there were still valid reasons to
reduce the current corporate tax rate.

  However, he said that such a decision could not be taken considering
the risks surrounding revenue collection.

  The government is giving top priority to industrialization and trade
facilitation in adopting any tax policy, he added.

  The MCCI leaders made several proposals and suggestions on the
existing structure of income tax, VAT and other duties.

  Apart from MCCI leaders, senior NBR officials were also present at
the programme.