FBCCI wants two-month extension of income tax return submission deadline for companies

The Federation of Bangladesh Chambers of Commerce & Industries (FBCCI) has sought a two-month extension of the income tax return submission deadline for companies set to end on 28 February.

The country's apex trade body made the request in a letter to the senior secretary of the Internal Resources Division and the chairman of the National Board of Revenue on Tuesday (20 February).

In the letter, the trade body cited a lack of understanding among businesses about the newly enacted Income Tax Act 2023, the global economic crisis, and the rush to import commodities ahead of Ramadan for not being able to file tax returns within the existing period. 

The letter reads, "Businessmen of the country continue to contribute to the overall economic development and prosperity. The new Income Tax Act-2023 has been enacted recently to make the tax system sustainable, modern and people-friendly. There is still no complete understanding among businessmen about the new act.

"Besides, the traders are busy with the import and export of daily necessities ahead of Ramadan amid the adverse global situation, inflation, and dollar. So, there has been a delay in preparing the necessary papers and documents for the audit activities."

Moreover, the letter said it requires a long time to get the documents verification code from the audit firms which results in delays for the companies to get the audit report.

In view of the requests made by various member organisations of the FBCCI, the trade body feels that at least two more months are required for filing returns of companies, according to the letter.

"In such a situation, it is necessary to extend the deadline for filing company tax returns till 30 April 2024 by continuing the penalty-free and other benefits under Section 334 of the Income Tax Act 2023," the FBCCI said.