Dhaka, Bangladesh (BBN) – The BBN (Bangladesh Business News) has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
New VAT law put on hold
The government has shelved the uniform 15 percent VAT plan for two years in the wake of public outcry and reported pressure from businesses and lobby groups. This means the multiple rates of the indirect tax under the 1991 VAT law will continue until fiscal year 2018-19. The much-discussed VAT and Supplementary Duty Act 2012, which has the provision for 15 percent flat VAT rate, was set to be implemented from next month.
Garment export tax retained at 1pc, corporate tax cut further
The government on Wednesday retained tax at source of 1 per cent on export earnings from readymade garment sector for the next fiscal year 20217-2018 beginning Saturday. Corporate income tax for apparel manufacturers, however, was lowered to 12 per cent from 15 per cent set in the proposed budget placed at the national parliament on June 1. The rate of corporate tax for green factories was reduced to 10 per cent from the proposed 14 per cent.
PM: There is no rice crisis
Prime Minister Shiekh Hasina has dismissed suggestions that there is a rice crisis in Bangladesh, as over 10 million tonnes of the staple food item is still in stock. She made the claim during the parliamentary session on the budget for fiscal year 2017-2018 on Wednesday at Jatiya Sangsad.
Govt reduces excise duty on small bank deposits
The government today reduced the excise duty on small size bank deposits amid much criticism but retained the proposed rates for big ticket account balances. Suggested by Prime Minister Sheikh Hasina in the parliament, Finance Minister AMA Muhith proposed the new excise duty that was passed unanimously in the House this evening.
Bangladesh’s stocks end higher after Eid holiday
Bangladesh’s stocks finished higher on Wednesday, the first trading session after five-day Eid holiday, as optimistic investors continued their buying spree amid optimism. However, the presence of the investors was thin on the trading floor as many investors are yet to resume businesses in Dhaka after enjoying Eid holidays in rural areas.
Banks asked to fund Tk 20,000cr to set up rental power plants
The government in an unusual move has asked local banks to fund approximately Tk 20,000 crore to facilitate private entrepreneurs to set up a number of rental power plants by March 2018. The government’s plan includes installation of 17-18 quick rental power plants with 2,000MW combined capacity adding to existing 15 rental plants with 931MW capacity which have already raised power prices by more than 69 per cent since 2010, said power division officials.
5 things that will change in the final budget
The finance bill for the 2017-18 fiscal year, which is scheduled for passage at Bangladesh Jatiya Sangsad on Wednesday, may appear with some major changes including the postponement of the implementation of new VAT law that imposes 15% uniform VAT rate. Finance Minister AMA Muhith placed the budget for the upcoming fiscal year on June 1, but many of the provisions, including the 15% uniform VAT rate and hike in excise duty on bank account transactions, drew heavy criticism from numerous parties.
Major cyber attack hits businesses
A cyber attack wreaked havoc around the globe yesterday, crippling thousands of computers, disrupting operations at ports from Mumbai to Los Angeles and halting production at a chocolate factory in Australia. The virus is believed to have first taken hold on Tuesday in Ukraine where it silently infected computers after users downloaded a popular tax accounting package or visited a local news site, national police and international cyber experts said.