Bourses Want Three-Year Tax-Break on Yearly Income
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Daily News Flash, 10th April, 2017 DSEX - 35.61 Gold (Ounce) $ 1256.1 0 Dollar 79.71 (Buy) 79.72 (Sell) CSCX -67.83 Oil (Barrel) $52.29 Euro 84.40 (Buy) 84.44 (Sell) BOURSES WANT THREE-YEAR TAX-BREAK ON YEARLY INCOME .................................................... 1 INDIAN PRIVATE SECTOR TO INVEST $9.0B IN BD ................................................................................... 2 NEGATIVE REMITTANCE GROWTH MAY DAMPEN DOMESTIC DEMAND ....................................... 4 AFRICA CAN BE CHEAPER COTTON SOURCE FOR BD TEXTILE SECTOR ....................................... 5 HAZARIBAGH TANNERIES GET TK 308 MILLION WAIVER ................................................................... 5 STOCKS EXTEND LOSING STREAK FOR THIRD DAY .............................................................................. 6 SAIF POWERTEC LEADS DSE TRANSACTION CHART ............................................................................. 7 SOUTHEAST BANK TO ISSUE RIGHTS, FORM SUBSIDIARY COMPANY ............................................. 9 AIMS TO RETURN THE FUND ........................................................................................................................... 9 TK 346M COMES FROM SPOT MARKET ..................................................................................................... 10 HELP NBR ENFORCE NEW VAT LAW .......................................................................................................... 10 HC STAYS ACCORD DECISION TO CUT BUSINESS WITH 4 RMG UNITS .......................................... 11 FAILED PEPSI, NIVEA ADS SHOW INDUSTRY’S DIVERSITY PROBLEM ........................................... 12 GOVT TO START DRIVE MAY 15 TO ENSURE USE OF JUTE BAGS FOR PACKAGING ................. 13 GARMENT SHIPMENTS TO CANADA SLIDE IN JUL-DEC ...................................................................... 14 JUTE EXPORTS TO INDIA FALL AMID ANTIDUMPING DUTY ............................................................. 15 ERICSSON SET TO RUN 4G TRIALS .............................................................................................................. 16 BANGLADESHI MAGAZINE ON DENIM HITS MARKET APRIL 14 ....................................................... 16 EUROPE ADMITS G20 ECONOMIES WILL MISS EXTRA GROWTH TARGET .................................. 16 প্রতিবেশীবের চেবে আকর্ষণীে অেস্থাবে চেবশর চশোরোজার ....................................................................................... 17 িাকাফুল ইসলামী ইন্স্ুুবরবন্স্র ইতিএস চেবেবে ২০ িেসা ............................................................................................ 18 আন্তজষাতিক চফাবে কল চরট কমাবি োে তে綿আরতস ................................................................................................... 18 চলাকসাে চেবেবে েুাশোল 綿উেবসর ........................................................................................................................ 19 উৎিােে কার্ষক্রম োলাবি িারবে ো এুাবিক্স টুাোতর ................................................................................................. 19 BOURSES WANT THREE-YEAR TAX-BREAK ON YEARLY INCOME Country's bourses demanded a three-year tax-break on their annual incomes for the sake of their 'financial stability' after the demutualisation, besides other sorts of fiscal stimulus. To this effect, the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE) authorities called for extension of the existing tax-holiday facility for the stock exchanges in the budget for the fiscal year (FY) 2017-18. The DSE and CSE leaders also proposed the widening of gap of corporate tax rates between the listed and non-listed companies to at least 5.0 to 10 per cent 1 Daily News Flash, 10th April, 2017 They made the proposals at a pre-budget meeting with the National Board of Revenue (NBR) Sunday. The NBR organised the pre-budget consultation with the representatives of financial institutions. Senior secretary of the Internal Resources Division (IRD) and NBR chairman Md Nojibur Rahman presided. Leaders from Bangladesh Insurance Association (BIA), Small and Medium Enterprises (SME) Foundation and Merchant Bankers Association placed their respective budget proposals at the meeting. Acting Managing Director (MD) of DSE Abdul Matin Patwari said the government would receive an insignificant amount of tax amounting to Tk 140 to 150 million from stock exchanges as it is under graduated rates of tax-holiday facility for five years. He proposed offering full tax exemption for next three years as two years already have passed off with tax-exemption facility. The acting MD of the premier bourse also proposed that the tax-exemption ceiling be increased for dividend up to Tk 0.1 million from Tk 25,000. President of the Brokers Association of Bangladesh Ahmad Rashid said DSE and CSE had been demutualised to meet a loan conditionality set by the Asian Development Bank (ADB). He also sought waiver of gain tax on sales of shares. CSE MD M Shaifur Rahman Mazumder said difference of corporate-tax rate should be widened to at least five per cent between listed and non-listed companies. He also proposed cuts in source tax on share transactions to 0.015 per cent from the existing 0.05 per cent and reduction in high rate of tax incidence on foreign software. "We have to pay 15 per cent VAT on maintenance fee of foreign software and also shoulder 20 per cent advance income tax, which is unbearable," he said. Md Shahabuddin, former member of the NBR, placed a presentation on behalf of the SME foundation. He proposed tax exemption for fire-fighting equipment, agricultural machinery, reduction in duty on paper and paper board, and zero-rated duty on capital machinery for SMEs. The foundation also recommended increasing the VAT-exempted turnover limit to Tk 3.6 million for small businesses and raise the ceiling of turnover tax to Tk 150 million from 8.0 million. BIA member Nasir Uddin Ahmed proposed fixing differential tax rates for life and non-life insurance companies and waiver of VAT on insurance commission. Merchant Bankers Association representative Md Ahsanullah proposed bringing uniformity on corporate-tax rates between asset management banks and other similar types of financial entities. Merchant banks have to pay corporate tax at 37.5 per cent. He also proposed encouraging investment in long-term shares by halving capital-gains tax to 5.0 per cent from 10 per cent. Source: http://print.thefinancialexpress-bd.com/2017/04/10/169615 INDIAN PRIVATE SECTOR TO INVEST $9.0B IN BD The Indian private sector has signed a number of agreements that will result in investment of over US$9.0 billion in Bangladesh. Both sides expressed satisfaction over the growth in trade and investment in the recent years. Meanwhile, another report by bdnews24.com adds: West Bengal Chief Minister Mamata Banerjee offered export of up to 1,000 MW electricity to Bangladesh during her meeting with Prime Minister Sheikh Hasina. 2 Daily News Flash, 10th April, 2017 "We have surplus power in West Bengal and since Bangladesh needs power for her economic growth, we can give power to Bangladesh," Mamata told journalists after meeting Sheikh Hasina with Indian PM Narendra Modi and President Pranab Mukherjee. Bangladesh is receiving 500MW electricity from West Bengal and 100 MW from Tripura. Another 60 MW will be given from Tripura, according to Indian officials. The Modi government has also promised another 500 MW to Bangladesh -- so when Mamata made the offer, Modi asked her to put it in writing. A West Bengal official said on Sunday that the offer was formally made in a letter to the Centre after instructions from the chief minister. Another report of the bdnews24.com adds: Officials concerned have been directed to conclude discussions on various aspects relating to sharing of water of the rivers Feni, Manu, Muhuri, Khowai, Gumti, Dharla and Dudhkumar between Bangladesh and India. The directive was given in the joint statement of Bangladesh Prime Minister Sheikh Hasina and her Indian counterpart Narendra Modi on Saturday. The two Prime Ministers appreciated the "positive" steps taken in respect of Bangladesh's proposal for jointly developing the Ganges Barrage on the river Padma in Bangladesh as they welcomed new developments. They pledged to pursue "new opportunities" to further deepen and broaden the relations in the 62- point statement issued after their summit meeting and exchange of signed agreements and MoUs. Those include the visit of "an Indian technical team to Bangladesh and establishment of a 'Joint Technical Sub-Group on Ganges Barrage Project' and study of the riverine border in the upstream area of project". Both leaders directed the concerned officials of the 'Joint Technical Sub-Group' to meet soon. According to the statement, 34 bilateral documents including business documents "are being signed, exchanged, adopted and handed over during the visit". Defence, civil nuclear cooperation, space technology and cyber security are some of the new areas of agreements signed during the visit. Modi announced a special medical scheme under which 100 Muktijoddhas of Bangladesh will be provided medical treatment in Indian hospitals every year. He also extended the Muktijoddha Scholarship Scheme for 10,000 heirs of Muktijhoddhas for another five years. He also announced five-year multiple entry visas for the freedom fighters. The two Prime Ministers emphasised the advantages of sub-regional cooperation in the areas of power, water resources, trade, transit and connectivity for mutual