Staff Reporter :
Dhaka Chamber of Commerce and Industry (DCCI) has made a set of proposals for reform in the upcoming national budget.
The proposals include doubling the infrastructure allocation, 7 percent uniform VAT instead of 15 percent, cutting corporate tax rates and increasing the individual taxpayers ceilings.
Placing the proposals for reforms in the national budget for fiscal year 2017-18 at a press conference on Saturday, DCCI president Abul Kashen Khan proposed inclusion of DCCI representatives in the executive committees of One Stop Service, Bangladesh Industrial Development (BIDA), Bangladesh Economic Zones Authority and Bangladesh Export Procession Zones Authority (BEPZA).
He also proposed formation of a project monitoring platform styled “National Infrastructure Development and Monitoring Advisory Authority (NIDMAA)” under the Public Private Partnership (PPP) Modality.
Besides, the DCCI president placed a list of key areas of priority (KAP) and said decentralization of Dhaka, multi-modal transportation with priority on rail and river transportation, development of Dhaka -Chittagong economic corridor, strengthening Energy and power Sector, increase of private infrastructure investment and development of skilled manpower should be under the KAP.
In the proposals Abul Kashem Khan said infrastructure investment should be increased to 5 percent of GDP from current level of 2.87 percent and the investment will boost the economy and contribute to new investment and functioning business activity resulting more resource mobilization.
Fast track projects deal with only 10 projects but the allocation and number of fast track projects need enhancement, he said.
He further said that uniform VAT should be seven percent instead of 15 percent as stipulated in the new VAT and Supplementary Act 2012 and eligible businesses should be provided with ECR machine free of cost by the government.
About the ceiling for individual taxpayers, the DCCI chief proposed Taka 3.50 lakh from the existing amount of Taka 2.50 lakh for individuals, Taka 4.0 lakh from Taka 3.0 lakh for women and senior taxpayers of 65 years and above, Taka 4.50 lakh from Taka 3.75 lakh for disable persons and Taka 4.75 lakh from Taka 4.25 lakh for war-wounded freedom fighters.
Education allowance for child, he proposed introducing of tax rebate as admissible expense on education spending for child. Admissible expense limit on child education should be maximum Taka 1,20,000 for two children, and Tk. 60,000 for each child.
