The interim government has scrapped the provision allowing the legalisation of undeclared wealth, commonly known as black money, by paying a 15% tax.
The National Board of Revenue (NBR) issued a notification on Monday on this regard.
The deposed Sheikh Hasina government in the last budget allowed black money to be whitened by buying immovable assets, including land, flats and plots, along with cash by paying 15 percent tax.
The gazette stated that the previous policy, which permitted the whitening of black money at a 15% tax rate, created inequality among regular taxpayers.
“Regular taxpayers are required to pay up to 25% income tax on their earnings, and if they possess certain amounts of assets, an additional surcharge of up to 35% on the payable tax is imposed.
The opportunity to whiten black money at a lower tax rate was deemed discriminatory against a fair and equitable tax system,” the notification added.
To promote a just and equitable revenue system, the NBR has abolished the provision for declaring undisclosed cash and similar assets by paying a 15% income tax, said the gazette notification.
The NBR reaffirmed its commitment to establishing a truly non-discriminatory, just, and progressive tax system.
