The International Business Forum of Bangladesh (IBFB) on Thursday urged the government to reduce corporate tax for increasing private investment in the country.
Despite repeated pleas from the business community, the corporate tax rates have not been lowered, said IBFB leaders at a post-budget press conference at Jatiya Press Club on Thursday.
At present, multiple corporate tax rates, ranging between 25 per cent to 45 per cent, are in existence for different corporate sectors.
It is 25 per cent for publicly traded companies and 35 per cent for companies not listed on the stock market, 40 per cent for non-listed banks and 45 per cent for mobile operators and tobacco companies.
The IBFB leaders opined that an initiative should be taken up for the review and evaluation on a quarterly basis to help implement the proposed budget.
They also proposed forming a high-powered advisory committee, involving the private sector, to monitor the progress of the Annual Development Programme (ADP).
“Every year we experience a bad instance of ADP implementation – it is very disappointing, said IBFB President Humayun Rashid.
The technical and practical capability should be enhanced and sufficient budgetary allocation is a must to increase the budget implementation rate, he added.
Low-income people will face added pressure as the tax-free income limit has not been increased in the proposed budget, the IBFB leaders said.
Another bad news for this group of people is the tax at source on national savings certificates has been raised from 5 per cent to 10 per cent.
IBFB Vice-President AFM Matiar Rahman, Director Md Fakhruddin, among others, were present at the press conference.