Category: Bangladesh

NBR nod must for banks to offer double taxation avoidance benefit

National Board of Revenue has asked all banks not to allow double taxation avoidance benefits to any non-resident taxpayers without NBR certificate. International taxation wing of the revenue board has also requested Bangladesh Bank for taking necessary measures so that banks follow the directives. International tax wing of NBR on...

Regent Airways accounts frozen for tax evasion

The airline began commercial flight operations in 2010 and its fleet comprises five aircrafts The National Board of Revenue (NBR) has frozen the bank accounts one of the country’s private airlines, Regent Airways, for avoiding tax around Tk14 crore, confirmed sources at the NBR. According to them, the Customs, Excise...

ACC sets June 30 deadline to complete probes into Panama, Paradise Paper leaks

Anti-Corruption Commission chairman Iqbal Mahmood on Wednesday ordered all ACC officials to complete enquiries by June 30 against individuals or entities whose names have been appeared in Panama Paper and Paradise Paper leaks. He made the order in an urgent meeting with the secretary, all director generals, and directors of...

Withholding tax returns come under crosscheck

Revenue appraisers began crosschecking the withholding tax returns from some companies to determine propriety of the pay disbursed to their foreign and local employees and consultants. In recent times, the submitted accounts on the pay-as-you-earn tax of some multinational companies (MNCs) and domestic firms have been under surveillance of the...

Out of Bangladesh

According to a research report titled “Illegal Financial Flows from Developing Countries: 2004-2013”, recently published by the Washington based research institute Global Financial Integrity (GFI), Bangladesh stands 26th in the list of 149 developing nations, in terms of flight of capital including money laundering (The Daily Star, December 10, 2015)....

Double taxation avoidance

India and Korea on December 9 agreed to suspend collection of taxes during the pendency of Mutual Agreement Procedure (MAP). This MoU will relieve the burden of double taxation for the taxpayer in both the countries. Two days later, India and Japan signed a protocol for amending the existing convention,...

AB Bank, SIBL tender unconditional apology to BB for irregularities in buyer’s credit

AB Bank Limited and Social Islami Bank Limited (SIBL) have tendered their “unconditional apology” after a Bangladesh Bank (BB) investigation revealed irregularities in buyer’s credit issued to some business houses by their offshore banking units. It was found that some debtors had shirked loan repayment, while yet others had utilised...

Transfer pricing and arm’s length principle

The dramatic expansion of international trade and development of new business strategies due to globalisation, converted the world into a large global market. In connection with that, companies have been using complex networks of subsidiaries and branches (e.g. permanent establishments) in order to continue most of their operations. The Multinational...

Dhaka, Thimphu in talks to sign double taxation avoidance deal

Staff Correspondent The National Board of Revenue on Monday started negotiations with Bhutan to sign an agreement on avoidance of double taxation and prevention of tax evasion and capital flight from the country. A five-member delegation led by NBR chairman Md Nojibur Rahman has been carrying out the first round...

NBR to sign deal with Bhutan to avoid double taxation

Bangladesh is set to sign an agreement with Bhutan to avoid double taxation to boost investments, trade and facilitate information exchange between the two Saarc nations, the National Board of Revenue said in a statement. A team led by NBR Chairman Md Nojibur Rahman is now in Thimpu to take...

Transfer Pricing Cell swings into action

The tax authority has moved to compile a statement of international transaction (SIT) for the first time by collecting details of all of the cross-border financial transactions conducted by the taxpayers across the country. The Income Tax wing under the National Board of Revenue (NBR) has taken the initiative to...

How feasible is transfer pricing scheme?

The National Board of Revenue (NBR) introduced the ‘Transfer Pricing Scheme’ hurriedly in the financial year 2011-2012. It, however, did not make any provision for infrastructure development to promote the scheme among concerned members of the public. Even it did not make any publicity for assessees, multinational and local companies...

FICCI statement

The Foreign Investors’ Chamber of Commerce & Industry (FICCI) has objected to a news item headlined “Tax theft by MNCs: Call to enforce transfer price rules” published in Sunday’s issue of The Financial Express. In a statement, the chamber said the shoulder “Tax theft by MNCs” and the reporter’s remarks...

Customs to check expensive cars for tax evasion

Customs Intelligence will scrutinise all expensive cars that have been imported in Bangladesh in the last two years for tax evasion. Director General of Customs Intelligence and Investigation Directorate Moinul Khan said this while briefing the media about the seizure of a Mercedes Benz from the capital’s Dhanmondi area for...

China unveils plans on building Silk Road Economic Belt, 21st-Century Maritime Silk Road

The Bangladesh-China-India-Myanmar (BCIM) economic corridor and China’s proposed ‘Silk Road Economic Belt and 21st-Century Maritime Silk Road’ are “closely” related, Beijing says as it has unveiled action plans on this joint ‘Belt and Road Initiative’. Chinese President Xi Jinping during his visits to Central Asia and Southeast Asia in 2013...

Nepal, Bangladesh to sign DTAA

KATHMANDU, Jan 30: Nepal and Bangladesh on Thursday agreed to sign Double Taxation Avoidance Agreement (DTAA). Issuing a statement on Thursday, Inland Revenue Department (IRD) said the fourth round of meeting for DTAA held in Kathmandu took the decision. Director General of Inland Revenue Department (IRD) Chudamani Sharma and Head...

Nepal, Bangladesh to sign DTAA

KATHMANDU, Jan 30: Nepal and Bangladesh on Thursday agreed to sign Double Taxation Avoidance Agreement (DTAA). Issuing a statement on Thursday, Inland Revenue Department (IRD) said the fourth round of meeting for DTAA held in Kathmandu took the decision. Director General of Inland Revenue Department (IRD) Chudamani Sharma and Head...

NBR forms cell to enforce TP law

The National Board of Revenue (NBR) has formed the much-awaited cell recently in a bid to conduct preparatory work for enforcing the transfer pricing (TP) law. The board has issued an order, ‘Transfer Pricing Cell Order-2014’ by defining nine-point work-plan for the cell. The cell will work under the supervision...