SC issues status quo on income tax collection from 3 private universities
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The Supreme Court today issued status quo on National Board of Revenue's (NBR's) action for collecting income tax from three private universities.
The three private institutions are University of Liberal Arts Bangladesh (ULAB), North South University (NSU) and Southeast University, Dhaka.
Justice Md Ashfaqul Islam, chamber judge of Appellate Division of the SC, passed the order following three separate appeals filed by the four private universities challenging a notice issued by the NBR demanding income tax from them.
The apex court judge also set April 21 for further hearing on the appeals at its full bench.
Omar Sadat, lawyer for ULAB, told The Daily Star that the NBR on March 4 issued a notice asking his client to pay income tax and saying that their bank accounts would be frozen, although full judgement of the apex court on the issue was yet to be released.
"We don't know in which term the Appellate Division has disposed of the appeals against the High Court verdict that declared illegal the government orders imposing 15 percent income tax on private universities and private medical, dental, and engineering colleges, as its full text is yet to be released. Therefore, the NBR has no authority to demand income tax from the private institutions before the written and signed verdict of the Appellate Division," he said.
Till further order of the apex court the three private universities need not pay income tax, the lawyer added.
Senior lawyers AF Hassan Ariff and Fida M Kamal and Barrister Omar Sadat appeared for the private universities while Attorney General AM Amin Uddin represented the government.
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