Women entrepreneurs may get tax relief
Women entrepreneurs may receive a relief in tax payment on their incomes from businesses in the coming fiscal year, said an official of the finance ministry.
The threshold for annual turnover for minimum tax may go up to Tk 70 lakh for firms run by female entrepreneurs in 2021-22, from Tk 50 lakh now.
"We do not have any separate turnover tax rate for firms run by women entrepreneurs. But we think it is important we give special incentive to encourage them," the official said.
At present, there is a separate tax-free income tax threshold for women.
"So, we are considering the introduction of a separate ceiling of turnover for minimum tax," the official said.
Currently, the tax-free income ceiling for women taxpayers is Tk 350,000 annually, and the threshold may remain unchanged in the next fiscal year.
The move comes amid growing interest among women to set up businesses to tap the demand among the burgeoning middle-class in Bangladesh resulting from the economy's steady growth over the last three decades.
In addition, the National Board of Revenue plans to encourage businesses to employ transgender people, also known as hijra, in order to integrate the community into the mainstream economy and reduce discrimination.
As part of the plan, the government may offer a 5 per cent rebate on corporate tax if a company employs 100 transgender persons.
The government officially recognised the community as gender in January 2014. Yet, the people of the segment are not welcomed in the job sector.
The official expected that the tax incentive would inspire companies to employ transgender people.
Transgender people, however, get an allowance from the government's social protection schemes.
The government allocated Tk 46 crore to support transgender, bede, and disadvantaged communities in the current fiscal year.