The Newspaper Owners' Association of Bangladesh (NOAB) on Sunday urged the government to reduce import duty on newsprint paper to 2.0 per cent and lower value added tax (VAT) to 5.0 per cent from existing 15 per cent.
It also requested the authorities concerned to eliminate corporate tax or lower than that of existing 27.5 per cent considering it a service sector in the next national budget for the 2024-2025 fiscal year.
They came up with the proposals at a pre-budget discussion with National Board of Revenue (NBR) Chairman Abu Hena Md Rahmatul Muneem at the NBR Headquarters in Agargaon area of the capital.
NOAB President AK Azad, its executive committee members Mahfuz Anam and Dewan Hanif Mahmud and NBR member Zakia Sultana, among others, were present at the meeting.
Addressing the meeting, AK Azad said the newspaper sector has been struggling amid the rise of digital media platforms on one hand and higher tax and duties are also hindering the sectors growth on the other hand.
"Newspaper sector has been going through difficulties in the recent times," he said, adding that per tonne newsprint paper now costs over $700 which was around $600 several years earlier.
He also said though import duty on newsprint is 5.0 per cent, the landed cost reaches to around 30 per cent when 15 per cent VAT, advance income tax and transport insurances are calculated.
Terming the newspaper sector a close ally of the government for its role in creating aware people of tax regime and reporting anomalies through reporting, he said not only journalists but also a huge number of other professionals, including printing and distribution, are involved in the sector.
In his address, Mahfuz Anam said the NOAB has been presenting its proposals to the NBR over the years, which yet remain unaddressed.
"Could you please pin-point our faults so that we can rectify ourselves," he pleaded the NBR chairman.
Underscoring the proposal for lowering corporate tax, he said newspaper as a sector doesn't generate that much revenue as a result lowering the tax will hardly make any impact on tax collection.
In response, the NBR chairman assured the NOAB leaders of considering its proposals.
Referring to import duties on newsprint paper, he said different vested quarters abuse the facilities given to a specific sector.
"If newsprint's import duty is waived, other varieties of paper will be imported in the name of newsprint," he said, adding that it is almost impossible to track how much paper is imported as newsprint.
Hailing the role of newspapers and media outlets, Mr Muneem said they have been playing a vital role in bringing different tax-related issues to the forefront.
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