E-Commerce association demands extension of tax holiday

Members of E-Commerce Association of Bangladesh (E-CAB) on Monday welcomed the Digital Commerce Gazzette-2019 terming it a 'milestone' for advancement towards digitisation of country's business sectors and demanded extension of tax holiday for the sector.

They urged government to acknowledge all sorts of online business as e-commerce activities and demanded extension of vat-tax holiday considering e-commerce a priority sector. They also sought to keep the income tax at a minimum 0.1 per cent for e-commerce enterprises.

They came up with the plea at a press conference on 'Digital Commerce Gazzette-2019 and proposals about digital commerce in coming national budget' arranged by E-CAB at the Jatiya Press Club.

President of E-CAB Shomi Kaiser urged the government to retain tax holiday for e-commerce enterprises in the upcoming budget of 2019-20 financial year.

"E-commerce will gain more popularity if tax-holiday is retained for the enterprises involved. Also, if any retailer trades online despite having shops outside virtual marketplace; it should also fall under e-commerce and be given the facility," she added.

E-CAB General Secretary Abdul Wahed Tamal presented proposals from E-CAB for the upcoming budget of 2019-20 financial years.

He demanded change of current definition of 'online product selling' and inclusion of proper definition in current gazette.

'It is indeed an appreciable initiative from the government to publish the policy as gazette in the shortest time. It will be considered as a milestone for e-industrialisation of the country," said Tamal.

He further said that e-commerce has yet to gain public confidence despite its infrastructural development, reports UNB.

E-CAB put forward a set of proposals for rapid growth of country's e-commerce sector which included allocation in budget for training of e-commerce entrepreneurs; annexing e-commerce with Information Technology Enabled Service (ITES) definition; vat exemption in renting out office and warehouse; reducing income tax to 0.1 per cent and more.

E-CAB executive committee members and Local e-commerce entrepreneurs were also present at the event.