Tax exemption on pvt sector CSR may be granted
FE Report | Monday, 11 August 2008
Granting a tax exemption on the private sector Corporate Social Responsibility (CSR) activities is on the government's card and it is already moving towards drawing up policies and guidelines to that end, Finance and Planning Advisor Dr A. B. Mirza Azizul Islam said Saturday.
However, he has cautioned that initiating such tax exemption may deprive government of the revenue which now is ultimately spent for the large scale social responsibility affairs conducted on the government's part.
His remarks came in the Mercantile Bank Award Giving Ceremony 2008 organized by Mercantile Bank Limited at a city hotel.
"In the context of Bangladesh, much of the social responsibility activities are operated at either individual or family level and at the government level," Finance Advisor said. "Although, it is a great sign that the participation of corporate sectors and especially the banks in this regard have been increasing on a large scale in the recent years," he added.
"However, it must be taken into consideration while granting a tax exemption on all sorts of private sector CSR initiatives that what impact would be felt as a consequence on the government's revenue collection," he observed.
"Also, the 45 percent tax now imposed on the banks is not too much comparing to 37.5 per cent tax that is now imposed on listed companies," he affirmed.
Elaborating on various social responsibility and welfare projects and initiatives taken up by the government, Mr Mirza Aziz informed, "The government has already increased the allocation for social security net in this year's budget by a large scale. Apart from that, the scope of the government granted stipend for all the female schools students would be expanded to include the male students as well," Mirza disclosed.
Later, he handed the awards among the recipients of the 'Mercantile Bank Award 2008'. A total of four individuals and two institutions were nominated for the award this year for their respective contribution in six different fields.
The recipients of the award this year are Shawkat Ali (Bengali language and literature), Liberation War Museum (Research on the War of Liberation), Geeti Ara Safia Chowdhury (Commerce and Industry), Bangladesh Scientific and Industrial Research Council (Science, Medical Science and Technology), Foyez Ahmed (Journalism) and Raqibul Hasan (Sports).
Chairman of Mercantile Bank Limited Mosarraf Hossain presided over the function. Chairman of Bangladesh Association of Banks (BAB) Nazrul Islam Mazumder, First Vice Chairman of Mercantile Bank Limited ASM Feroz Alam, Second Vice Chairman Taznen Aman and Managing Director Dewan Mujibur Rahman also spoke on the occasion.
However, he has cautioned that initiating such tax exemption may deprive government of the revenue which now is ultimately spent for the large scale social responsibility affairs conducted on the government's part.
His remarks came in the Mercantile Bank Award Giving Ceremony 2008 organized by Mercantile Bank Limited at a city hotel.
"In the context of Bangladesh, much of the social responsibility activities are operated at either individual or family level and at the government level," Finance Advisor said. "Although, it is a great sign that the participation of corporate sectors and especially the banks in this regard have been increasing on a large scale in the recent years," he added.
"However, it must be taken into consideration while granting a tax exemption on all sorts of private sector CSR initiatives that what impact would be felt as a consequence on the government's revenue collection," he observed.
"Also, the 45 percent tax now imposed on the banks is not too much comparing to 37.5 per cent tax that is now imposed on listed companies," he affirmed.
Elaborating on various social responsibility and welfare projects and initiatives taken up by the government, Mr Mirza Aziz informed, "The government has already increased the allocation for social security net in this year's budget by a large scale. Apart from that, the scope of the government granted stipend for all the female schools students would be expanded to include the male students as well," Mirza disclosed.
Later, he handed the awards among the recipients of the 'Mercantile Bank Award 2008'. A total of four individuals and two institutions were nominated for the award this year for their respective contribution in six different fields.
The recipients of the award this year are Shawkat Ali (Bengali language and literature), Liberation War Museum (Research on the War of Liberation), Geeti Ara Safia Chowdhury (Commerce and Industry), Bangladesh Scientific and Industrial Research Council (Science, Medical Science and Technology), Foyez Ahmed (Journalism) and Raqibul Hasan (Sports).
Chairman of Mercantile Bank Limited Mosarraf Hossain presided over the function. Chairman of Bangladesh Association of Banks (BAB) Nazrul Islam Mazumder, First Vice Chairman of Mercantile Bank Limited ASM Feroz Alam, Second Vice Chairman Taznen Aman and Managing Director Dewan Mujibur Rahman also spoke on the occasion.