Tax benefits for capital gains from DSE's stake sale | The Daily Star
12:00 AM, September 13, 2018 / LAST MODIFIED: 12:00 AM, September 13, 2018

Tax benefits for capital gains from DSE's stake sale

Muhith announces at BSEC's silver jubilee celebration

The members of the Dhaka Stock Exchange will enjoy tax benefits on the profits they earned by selling stakes to the Chinese consortium, the prime bourse's new strategic partner.

Finance Minister AMA Muhith yesterday announced the tax benefit at the silver jubilee celebration programme of Bangladesh Securities and Exchange Commission (BSEC) at Bangabandhu International Conference Centre.

The Chinese consortium comprising, Shenzhen Stock Exchange and Shanghai Stock Exchange, bought 25 percent share of DSE for Tk 947 crore.

There was a huge capital gain for the stockbrokers, as the Chinese partner bought each of the DSE share at Tk 21, much higher from its face value of Tk 10.

DSE Brokers' Association (DBA), a platform of the Dhaka bourse's stockbrokers, had earlier agreed to invest the capital gain into the stockmarket and urged Muhith to lower the existing 15 percent tax on the gain to 5 percent.

The tax benefit will be given if the stockbrokers keep the capital gain investing on the listed securities for three years, the minister said yesterday.

“It's a good initiative for the market. I expect at least 95 percent of the brokers will choose to invest their money again into the stockmarket,” said Mostaque Ahmed Sadeque, president of DBA.

The market will see a positive movement after the investment of the huge amount of money, he said. “This money will be available for investment in a few days. So the effect will be clear then.”

However, DSEX, the benchmark index of the premier bourse, declined 14.11 points or 0.25 percent, before finishing the day at 5,529.81.

Turnover, another important indicator of the market, jumped 20.6 percent to Tk 861.07 crore, with 18.85 crore shares and mutual fund units changing hands on the DSE. Of the traded issues, 108 advanced, 185 declined and 40 closed unchanged on the DSE.

Khulna Power dominated the turnover chart with 69.91 lakh shares worth Tk 81.26 crore changing hands, followed by Active Fine Chemicals, BBS Cables, United Power Generation and Nahee Aluminum.

Intech Online was the day's best performer with a 10 percent gain while National Housing Finance was the worst with a 9.28 percent fall.

Chittagong stocks also fell yesterday with the bourse's benchmark index, CSCX, declining 23.01 points or 0.22 percent to finish the day at 10,338.20.

Gainers beat losers as 91 advanced, 134 declined and 20 finished unchanged on the Chittagong Stock Exchange.

Stay updated on the go with The Daily Star Android & iOS News App. Click here to download it for your device.

Type START <space> BR and send SMS it to 22222

Type START <space> BR and send SMS it to 2222

Type START <space> BR and send SMS it to 2225

Leave your comments

Top News

Top News