5pc tax on profit of savings tools up to Tk5 lakh
Currently, pension schemes up to Tk5 lakh is tax-exempted
Except for pension schemes, the government will charge a 5-percent tax at source on the interest of savings certificate investment of up to Tk5 lakh, Finance Minister AHM Mustafa Kamal said on Monday.
Currently, pension schemes up to Tk5 lakh is tax-exempted.
A 10-percent tax will be applicable on the interest of all other schemes.
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Speaking at a press conference at his ministry, Kamal said the National Board of Revenue (NBR) will issue a circular in this regard soon.
Contacted, NBR officials told The Business Standard that they were taking preparation in this regard.
Mazharul Haque Bhuiyan, second secretary (tax policy) of the NBR, said an investor has to pay tax at a 10 percent rate if his total investments in different schemes of the National Savings Certificates exceed Tk5 lakh.
The government in the budget for the current fiscal year doubled the tax at source from the previous 5 percent on the profit of savings certificates.
