The country's economyis going through a difficult time, said Saiful Islam, president of the Metropolitan Chamber of Commerce and Industry, yesterday.

In the last few years, the country has been facing challenges amid the pandemic and the Russia-Ukraine war, he said.

The Russia-Ukraine war has turned the geopolitical situation volatile, raising challenges for the global economy, including a rise in commodity prices, he told a discussion on the income tax law on its Motijheel office premises in the capital.

Bangladesh is progressing through detailed changes in overall tax management marking the upcoming transition into a middle and advanced economy by 2026, said Islam.

The decision to enact and implement a new income tax law this year was quite difficult considering the overall situation, he said.

However, a provision for the filing of returns of corporate tax on a monthly basis is commendable as it will greatly increase transparency, he said.

Moreover, the extension of the validity of all types of trade licenses to up to five years is a milestone in terms of the ease of doing business, he said.

However, there are some problems which individuals and institutions are continuing to face when preparing and filing income tax returns, said Islam.

Some problems are also being observed centring deduction of tax at source, he added.

On another note, he claimed that about 45 per cent of the total income tax comes from the MCCI members.

There is scope for working on the new law and the National Board of Revenue can be informed of specific proposals, said Ahsan Habib, commissioner of taxes at Tax Zone-15, Dhaka.