Wealth statement may not be needed

The government is likely to discard its plan to ask for wealth statements from the people who travel abroad, according to officials of the finance ministry. 

The move may come in line with the recommendation of the parliamentary standing committee on the finance ministry.

The standing committee is expected to suggest the removal of the provision in the Income Tax Bill 2023, which is seeking to make the filing of wealth statements compulsory for persons who will visit other countries except for treatment and religious purposes.

The National Board of Revenue placed the Income Tax Bill in parliament on June 8 to modernise the existing income tax system and replace the Income Tax Ordinance 1984, which is currently in force.

Besides, people who have more than Tk 10 lakh credit balance in their bank accounts are unlikely to be needed to file income tax returns. Instead, those with over Tk 10 lakh in fixed deposits may require to file returns and show proof of submission of returns in line with the recommendation of the standing committee.

Besides, the proposed rule regarding the filing of audited financial statements by firms, associations of persons and various types of funds may be relaxed.

Firms and associations of persons with up to Tk 3 crore in annual turnover may be exempted from filing audited accounts, up from the proposed Tk 2 crore, according to an official of the finance ministry.

The proposal to allow legalising investments of undisclosed income in land is also likely to go.

However, wealthy people may see a spike in the specific amount of tax rate in the case of investments in more than 200 square metres of building spaces or apartments in Gulshan Model Town, Banani, Baridhara, Motijheel commercial area, and Dilkusha.

The amount of tax may rise to Tk 6,000 for each square metre from the proposed Tk 5,000. In the municipalities in district towns, the amount may go up to Tk 800 from Tk 700.