BB instructs to deduct 20pc tax on FB, Google ad revenues

Bangladesh Bank (BB) has instructed banks to deduct a maximum of 20 per cent tax on revenues from digital marketing for social media platforms including Facebook and television radio, reports UNB.
The Foreign Exchange Policy Department of the Central Bank issued a circular in this regard on Monday.
Bangladesh Bank has asked Authorized Dealer (AD) banks engaged in foreign exchange transactions to follow the instructions of the Income Tax Ordinance 1984 in sending remittances (payment) in favor of non-resident institutions.
According to the guidelines, the foreign company will have to pay tax at the rate of 15 percent, while repatriating the income from the advertisement spread through the use of the country's internet.