DCCI flays hike in trade licence fee, holding tax

The Dhaka Chamber of Commerce and Industry (DCCI) has criticised the decision of the government for increasing trade licence fee and holding tax. The DCCI in a statement said a gazette notification issued by the Ministry of LGRD and Cooperatives on March 2 last proposed increase of holding tax to 27 per cent from 12 per cent on yearly basis. The City Corporation Tax rate for limited companies will be increased up to Tk 5,000 annually. Importers will have to pay Tk. 3,000 tax instead of Tk. 1,000 and exporters Tk. 3,000 tax instead of Tk. 500. The DCCI said the decision of increasing city corporation tax will increase the cost of doing business and may fuel inflation. "The DCCI thinks the city dwellers are still deprived of modern and improved municipal facilities. So, before raising the municipal tax, the government should ensure enhanced urban facilities to the city dwellers," said the statement of the trade body. Besides, the DCCI said the businessmen in recent past have suffered staggering losses in their businesses due to political unrest and violence.     — FE Report