Bangladesh cuts turnover tax for startups

Bangladesh plans to slash the turnover tax for startups to 0.1 percent from 0.6 percent in the new fiscal year starting July 1, in order to allow entrepreneurs a competitive advantage to expand their businesses in the global arena.

Finance Minister AHM Mustafa Kamal made the disclosure as part of his budget proposal in parliament on Thursday.

“I propose to exempt the start-up businesses from the bindings of all other types of reporting except submitting an income tax return, and to allow start-up companies to set off and carry forward losses over a period of nine years.”

He also suggested withdrawing the restrictions on expenditure of startups.