Govt’s tax collection from DSE falls after 3 months

Staff Correspondent | Published: 00:05, Nov 06,2017

 
 

The government’s tax collection from the Dhaka Stock Exchange declined to Tk 23.27 crore in October from Tk 30.81 crore in the previous month mainly due to the sluggish situation of the market.
The National Board of Revenue received Tk 15.69 crore as tax on turnover and Tk 7.5 crore as tax on sponsor-directors’ capital gain from share sales in October.
In September, NBR received Tk 19.92 crore as turnover tax and Tk 10.88 crore as tax on sponsor-directors’ capital gain from share sales.
The tax collection in October was the lowest after June this year when NBR collected only Tk 12 crore from the bourse.
After June, the tax collection from the bourse doubled in July and increased further in the next two months as the market was bullish during the period.
The government’s tax collection from the bourse depends on the turnover on the stock exchange and sponsor-directors’ capital gains.
The consolidated turnover on the bourse in 22 trading sessions dropped by 21.29 per cent to Tk 15,697.42 crore in October from Tk 19,944.12 crore in September.
The average daily turnover on DSE declined in the month to Tk 713.51 crore compared with that of Tk 1,049.69 crore in September.
Under the Income Tax Ordinance 1984, DSE collects 0.05 per cent tax on turnover from brokerage houses, which collect the tax from investors on their daily transactions and 5 per cent tax on capital gains made by sponsor-directors and placement-shareholders.
The bourse on behalf of the government collects tax as per the revenue board-set guidelines and submits the tax to the NBR department concerned.
Single-month tax collection by the government from the DSE hit a record high in November 2010 when it received Tk 47.71 crore, thanks to the market boom in 2009-2010. 

More about:

Want stories like this in your inbox?

Sign up to exclusive daily email

Advertisement

images

 

Advertisement

images