Govt Allows Black Money Investment with Penalty

The National Parliament has passed the Finance Bill 2021 for the next 2021-2022 financial year. In the bill, the opportunity has been given to whiten the black money in the stock market, flats-land purchases and a few other sectors. As a result, the opportunity to invest undisclosed money in certain sectors remained in force in the next financial year as well.

On Tuesday (June 29), Finance Minister AHM Mustafa Kamal proposed to pass the bill in Parliament, which was passed by voice vote. Speaker Dr. Shirin Sharmin Chowdhury presided over the session. Prime Minister Sheikh Hasina was present in Parliament at the time.

The budget for 2021-22 proposed by Finance Minister AHM Mustafa Kamal in the National Assembly on June 3 did not have the opportunity to whiten black money. However, in the end, the money bill was passed with the opportunity to whiten black money in some sectors. But this time 25 percent tax has to be paid to whiten the black money in these sectors. There will be a further 5 percent fine.

The bill passed this time did not bring any major amendment in the tax proposal. However, the corporate tax on mobile banking services has been reduced in the bill.

Following the announcement of the budget, mobile banking service providers (MFSs) separately applied to the National Board of Revenue (NBR) for the reduction of corporate tax. The NBR has thoroughly reviewed the applications of the institutions and decided to reduce the corporate tax in this sector.

As per the decision taken by the government, the corporate tax on mobile banking services has been increased from 37.50 percent in the proposed budget for listed companies like banks, insurance and financial institutions and 40 percent for unlisted companies. It has been reduced to 30 percent.