NBR grants tax waiver to several infrastructure dev companies

FE Report | Published: March 15, 2019 10:22:38 | Updated: March 15, 2019 13:06:37


Picture used for illustrative purpose only

The National Board of Revenue (NBR) has granted tax exemption to several private sector companies, working for the country's infrastructure projects including expansion of the Dhaka airport and building the city's mass rapid transit system.

The NBR's Income Tax Wing has issued three Statutory Regulatory Orders (SROs) in this regard.

Japanese officials working in the Nippon Koei Co Ltd and the Oriental Consultants Global Co Ltd will enjoy the tax exemption on their earnings from the Hazrat Shahjalal International Airport Expansion Project (1). The companies are involved in implementation of the project.

The NBR has also granted tax exemption to the Japanese contractor Kawasaki-Mitsubishi Consortium (KMC) on its earnings from the Dhaka Mass Rapid Transit Development Project (II). The company is involved in purchase of rolling stock and other equipment for the project.

The board has also offered tax waiver to the SS Power I Limited on its fees/interest that will arise from loans.

Officials said the three SROs on tax exemption were issued under separate agreements signed between the companies and the government of Bangladesh.

The government and the Japan International Cooperation Agency (JICA), on June 29, 2016, signed a loan agreement with the Kawasaki-Mitsubishi Consortium to offer tax exemption on its earnings from the Dhaka Mass Rapid Transit Project.

On June 29, 2017, another agreement was signed between the JICA and the government on the tax exemption for the Japanese employees of the Nippon Koei Co Ltd and the Oriental Consultants Global Co Ltd.

On February 16, 2016, the Power Grid Company of Bangladesh (PGCB) signed an implementation agreement with the SS Power I Limited with clauses on tax exemption on fees arising from loan.

The NBR officials said they offered the tax waiver in line with the government's commitment with the infrastructure development companies.

doulot_akter@yahoo.com

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