Trade licence fees are likely to be increased in all 11 city corporations
\nin the country during the current month.
\nAll business houses in the private sector under the city corporation areas will be brought under the increased trade licence fees, according to sources at the LGRD ministry.The 11 city corporations are Dhaka North City Corporation, Dhaka South City Corporation, Chittagong City Corporation, Khulna City Corporation, Rajshahi City Corporation, Barisal City Corporation, Sylhet City Corporation, Comilla City Corporation, Narayanganj City Corporation, Rangpur City Corporation and Gazipur City Corporation.
\nThe hike in the trade licence fees is aimed at collecting more revenue with a view to providing improved services to city dwellers, said the sources.
\nThe proposed new trade licence fees are for scheduled banks and other financial institutions (applicable to all city corporations) \u2013 Tk 15,500 (existing Tk 3,000), for insurance companies (branch office) \u2013 Tk 5,000 (existing Tk 3,000), for lending institutions (branch office) \u2013 Tk 5,000 (existing Tk 3,000), and for money exchangers \u2013 Tk 5,000 (existing Tk 1,500).
\nFor private universities (applicable to all city corporations) \u2013 Tk 10,000 (existing Tk 2,000), and for private colleges\/schools (big) \u2013 Tk 5,000 (existing Tk 1,000).
\nFor restaurants (air conditioned) \u2013 Tk 5,000 (existing Tk 1,000
\n-applicable to two city corporations in Dhaka and Chittagong City Corporation) while it is Tk 3,000 for other city corporations.
\nFor restaurants (non-AC) \u2013 Tk 2,000 (existing Tk 500 – applicable to two city corporations in Dhaka and Chittagong City Corporation) while it is Tk 1,000 in other city corporations.
\nFor five-star hotels (centrally air conditioned) \u2013 Tk 50,000
\n(existing Tk 20,000 – applicable to two city corporations in Dhaka and Chittagong City Corporation) while the rate is Tk 25,000 for other city corporations.
\nFor four-star hotels (centrally air conditioned) \u2013 Tk 25,000 (applicable to two city corporations in Dhaka and Chittagong City
\nCorporation) and it is Tk 20,000 for other city corporations.
\nFor three-star hotel (centrally air conditioned) \u2013 Tk 20,000 (existing Tk 15,000 – applicable to two city corporations in Dhaka and Chittagong City Corporation) and it is Tk 15,000 for other city corporations.
\nFor two-star hotel (centrally air conditioned) \u2013 Tk 15,000 (applicable to two city corporations in Dhaka and Chittagong City
\nCorporation) while it is Tk 10,000 for other city corporations.
\nFor one-star hotel (centrally air conditioned) \u2013 Tk 12,000 (existing Tk 10,000 – applicable to two city corporations in Dhaka and Chittagong City Corporation) and it is Tk 8,000 for other city corporations.
\nFor private health clinics and nursing homes above 40-bed (applicable to all city corporations), the new fee will be Tk 40,000 (existing Tk 10,000).
\nThe trade licence fee was raised last time on November 4, 2002 as per article 84 of the Local Government (City Corporation) Act-2009, a source at the LGRD ministry told the UNB.
\nThe new fee will come into effect following the publication of New Model Tax Schedule-2013 in the official gazette.
\nThe ministry earlier finalised the draft of the New Model Tax Schedule on the basis of opinions of all the city corporations.
\nAccording to the concerned section at the ministry, the licence fee will be more for some categories of trades in commercially important areas under only Dhaka North and Dhaka South and Chittagong city corporations than the other city corporations.
\nIn the model tax schedule, a new city tax has been imposed for those who will stay at a residential hotel in city corporation areas as elsewhere the world. Separate five per cent city tax is compulsory for every person who stays in a five-star hotel, four per cent for four-star hotel, three per cent for three-star hotel, and two per cent for all other hotels.
\nSmall shops under all the city corporations will also be brought under tax net for expanding the scope of tax.
\nLGRD secretary Abu Alam Mohammad Shahid Khan said, \u2018A lot of money is needed for providing improved services to the dwellers living in the city corporations. It is not possible to provide the improved services to the city dwellers with the money currently available from tax.\u2019
\nHe said trade licence fee and other local government taxes were last raised in November 2002. \u2018Prices of everything have increased with the passage of time. Hence, it is necessary to increase the local government taxes. Disbursement of salaries and allowances of officials and employees of some city corporations was being hampered due to financial crisis.\u2019
\nDeputy chief revenue officer of Dhaka North City Corporation Mohammad Mohsin Ali said that more revenue would be available if the increased fees and taxes are realised.
\nHe mentioned that proposals have been made for increasing fees and taxes in 61 new trades under Dhaka North City Corporation. Besides, proposal has also been made for imposing tax at 15 per cent on signboard, cable operator\/every dish connection.
\nIf more revenue is available, the city corporations will be able to provide improved services to the city dwellers, Mohsin Ali said.<\/p>\n

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Trade licence fees are likely to be increased in all 11 city corporations in the country during the current month. All business houses in the private sector under the city corporation areas will be brought under the increased trade licence fees, according to sources at the LGRD ministry.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","footnotes":""},"categories":[4],"tags":[10709],"yoast_head":"\n