Bangladesh reduces tax for unlisted companies to 32.5% in new budget

The government has reduced the tax-rate of non-publically listed companies by 2.5 percentage points in the new budget.

Finance Minister AHM Mustafa Kamal made the proposal during the budget session in parliament on Thursday, saying the move will ease the burden of taxpayers in times of the COVID-19 pandemic.

The tax rate of non-publicly listed companies has been lowered to 32.5% from 35%.

Except for banks, leasing and insurance companies, mobile phone companies and cigarette manufacturers, tax rates for publicly traded companies and unlisted companies have remained at 25 percent and 35 percent respectively since fiscal 2014-15.

At present, the garment factories having green building certification enjoy a special tax rate of 10 percent, whereas RMG factories without such certification pay taxes at a rate of 12 percent.

The deadline of the SRO providing this special tax rate ends on June 30, and the minister proposed to extend the deadline for the SRO by another two years.