Special tax benefits discourage honest taxpayers, Rehman Sobhan says

Chairman of Centre for Policy Dialogue (CPD) Professor Rehman Sobhan has said the provision of whiten black money will discourage honest taxpayers.

He also suggested the National Board of Revenue (NBR) to research whether special tax benefits are really positive for the economy.

The CPD chairman came up with the statement while addressing a webinar, organised by Citizen's Platform for SDGs, Bangladesh on  Tuesday, on whether whitening black money was beneficial or harmful for the economy, reports UNB.

According to NBR data, 7,445 taxpayers have legalised undisclosed income of around Tk 102.20 billion with a tax of around Tk 9.50 billion in the first six months of the current FY-2021.

Presiding over the function, Convener of the Citizen’s Platform Dr Debapriya Bhattacharya said this opportunity to whiten black money indulges in injustice.

“Though this opportunity is positive for the economy on a limited scale and for a short time, it’s harmful in the long run,” he said.

Former member (Customs Policy) of NBR Md Farid Uddin said the lack of good governance is the reason behind the black money. “The role of political leadership is significant to prevent black income,” he added.

On the other hand, member of NBR (Customs policy) Md Alomgir Hossain said providing black money whitening facilities through special tax benefits will help the overall economic development.