Dhaka, Bangladesh (BBN)-Tax collection from Dhaka Stock Exchange (DSE) fell 6.42 percent in October compared to a month ago due to reduced trade volumes and trading sessions.
The government bagged tax worth BDT 233.43 million in October against BDT 249.42 million in September, registering a decline of 6.42 percent over the month, according to statistics from the Dhaka Stock Exchange (DSE).
Of the total tax in October, BDT 127.65 million came from the brokerage commission while rest BDT 105.78 million came from the share sales by sponsor-directors and placement holders, the DSE data showed.
The DSE, on behalf of the government, collects the tax as brokerage commission and sponsor and placement shares sales at the rate of 0.05 percent and 5.0 percent respectively and deposits the amount to the government exchequer.
Week-long vacation in October on the occasion of Eid-ul-Fitr, reduced trading sessions which contributed to lower tax collection in October, said a market insider.
A total of 17 trading sessions took place in October as against 22 trading sessions in the month of September.
The daily average turnover on the DSE was BDT 7.50 billion in October as against BDT 7.98 billion in September, which contributed to lower tax collection as tax is calculated on turnover value.
BBN/SSR/AD-06Nov14-12:13 pm (BST)
