Finance minister Abul Maal Abdul Muhith on Thursday proposed extending the tax holiday for two more years and raising investment ceiling for rebate in the next financial year.
In his budget speech for the financial year 2013-14, Muhith proposed extending the tax holiday for 17 industrial and 17 infrastructure facilities for two years until June 30, 2015 which was scheduled to expire on June 30 this year.
He also proposed continuation of the tax holiday for jute goods, fabric and dying industry, export of handicraft, poultry sector, fisheries and hatcheries and palette feed for fish, shrimp and cattle until June 30, 2015.
‘I would, however, propose to gradually and proportionately decrease the industrial and infrastructural facility-based tax holiday period to benefit the entrepreneurs and increase the revenue,’ he said.
Muhith also proposed an increase of investment rebate to 15 per cent from existing 10 per cent and raising the investment ceiling to Tk 1.50 crore from existing Tk 1 crore.
He also proposed increasing the ceiling from 20 per cent to 30 per cent of the total income eligible for tax rebate.
‘Considering the significant contribution of investment in industrialisation and economic development the present government is firmly committed to create investment-friendly regime to stimulate economic growth,’ he said.
-With New Age input
