Dhaka, Bangladesh (BBN)– The Dhaka Stock Exchange (DSE) will propose dividend income tax free up to BDT 25,000 in the upcoming national budget in an effort to restore stability in the stock market, officials said.
The decision was taken at a board meeting held at the DSE board room in the capital Dhaka on Wednesday with its president Rakibur Rahman in chair.
After the meeting, Chief Financial Officer (CFO) of DSE Shuvra Kanti Choudhury, said most of the small investors suffered loss during the market crash and they will propose to dividend income tax free up to Tk 2,500 to minimize their loss.
Mr Choudhury said that they will also propose to minimum 5.0 percent tax gap between listed and non-listed companies to encourage firms to list in the stock market.
In the same time, DSE will also propose to 37.5 percent corporate tax of listed insurance, banks and non-banking financial institutions (NBFIs) instead of existing 42.5 percent, he said.
Mr Choudhury also said that they will propose 50 percent tax rebate facility of the new investors whose yearly income of BDT 1.0 million and if he invest at least BDT 50,000 in stock market.
BBN/SSR/AD-26Apr12-8:15 am (BST)