Real Estate and Housing Association of Bangladesh on Tuesday demanded reduction of fees and taxes on registration of apartments and plot to make the sector vibrant.
Existing registration cost of both new and used apartments is 14 per cent to 16 per cent in the country which is very high and irrational, REHAB president Alamgir Shamsul Alamin said at a pre-budget discussion with the National Board of Revenue.
The registration cost is 4 per cent to 7 per cent in neighbouring countries, he said. Registration cost should be brought down to 7 per cent for new apartments, he said.
The government should also introduce secondary market for five years old apartments at 3.5 per cent re-registration cost, he said.
REHAB vice-president Liakat Ali Bhuiyan demanded restoration of unconditional investment scope of undisclosed money in housing sector to prevent money laundering.
He said that indemnity in investment of untaxed money in real estate should be given at least for five to ten years to prevent money laundering.
NBR chairman Md Mosharraf Hossain Bhuiyan said that registration cost at 14 per cent to 16 per cent was really high, particularly for used apartments.
He also assured the realtors that he would send letters to local government and law ministries to reduce to fees and taxes.
Bangladesh Land Developers Association also sought indemnity for legalisation of undisclosed money through investment in housing sector to boost the sector and prevent money laundering.
BLDA also demanded reduction of registration cost of flat and plot to 7 per cent.
At the meeting, Bangladesh Still Manufacturers Association demanded reduction of corporate income tax to 25 per cent from current 35 per cent and turnover tax to 0.3 per cent from existing 0.6 per cent for the sector.
Bangladesh Steel Manufacturers Association demanded continuation of tariff-based VAT system on production and sales of mild steel products.
It also demanded reduction of customs duty on import of raw materials, including ferrous waste and scrap, and sponge iron, for the sector.
Bangladesh Cement Manufacturers Association president Mostafa Kamal demanded reduction of value-added tax and advance income tax on import of raw materials, including clinkers, gypsum, slag and limestone, for cement sector.
Bangladesh Stainless Steel Pipe Manufacturers Association also participated at the meeting.
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