Business Desk :
Hope for investment in the Bangladeshi flag ship sector, reduction of corporate taxes will enhance investment, Export diversification will be facilitated. However, personal tax free income limit should be increased.
Finance Minister AHM Mustafa Kamal has announced the largest ever budget for the fiscal 2022-2023 titled ‘Return to the continued development overcoming the impact of COVID’. In a reaction to the budget, Md. Rezaul Karim said, “We think it is possible to implement this budget even if it is difficult.” Some issues, however, need to be reconsidered and on some issues stable policy is needed. He said that the budget was timely considering the post-Corona economic recovery in the context of the Russia-Ukraine war.
In the proposed budget for the fiscal 2022-2023, tax exemption has been extended till 2030 to encourage the movement of Bangladeshi flag ships. This will encourage new investment in this sector, helping employment growth and export diversification. In his budget speech, the Finance Minister proposed to make the foreign exchange earnings by Bangladeshi-flag ships through the banking channel tax-free upto 2030. It will enhance contribution of the services sector.
The chairman of Shippers Council of Bangladesh said that the total expenditure in the budget is Tk. 6 lakh 78 thousand 64 crore, total income is Tk. 4 lakh 36 thousand 271 crore and deficit is 2 lakh 41 thousand 7 hundred 93 crore. Operating cost is 4 lakh 11 thousand 4 hundred and 6 crore taka and annual development program amounts to 2 lakh 46 thousand 66 crore taka. He hoped that the Government will be cautious in meeting the deficit. Deduction at source of bank interest of the companies has been increased from 10% to 20% and the tax at the source of exported goods has been increased from 0.5% to 1%. This may be reconsidered. The same tax rate for all export oriented industries as applicable to readymade garment industry will play an important role in diversifying export products.
Opening of dream project Padma Bridge financed by own sources at the instance of Honourable Prime Minister will bring about a revolutionary change in the field of industry as well as in the quality of life of the local people in the southern part of the country.
