Tax cut for IT service providers, hardware manufacturers

Finance Minister AHM Mustafa Kamal today proposed to offer a tax exemption to IT service providers for four years in the next budget.

"I propose to offer tax exemption facility to providers of cloud service, system integration, e-learning platform, e-book publications, mobile application development service and IT freelancing until 2024," he said.

While unfolding the proposed budget of Tk 603,681 crore for the fiscal 2021-22 today, he also proposed to offer tax exemption, subject to certain conditions, for 10 years on production of some selected IT hardware if manufactured in Bangladesh.

This will give impetus to the digital transformation process of Bangladesh, will make modern digital services easily available to the citizens at a low cost, and will also make a positive impact in materializing the dream of building a digital Bangladesh, he added.