Holding Tax Increase: MPs want it reconsidered

Senior lawmakers, including a minister, in parliament expressed anger over the government's move to increase holding tax in Dhaka and Chittagong cities.

The MPs of treasury and opposition benches yesterday asked the government to reconsider the move and said the hike would have an adverse effect on the next general elections.

People were angered due to the government's decision to increase the tax to an “irrational” level, they said.

Commerce Minister Tofail Ahmed and Jatiya Party MPs Sayed Abu Hossain Babla and Ziauddin Ahmed Bablu spoke on the issue taking the floor on a point of order.

“It is normal that holding tax will increase after a certain period of time. But increasing holding tax by nine times at one go cannot be acceptable. People will not accept it. The move needs to be reconsidered,” said Tofail.

He said if the holding tax was increased, for example to Tk 72,000 from Tk 8,000 suddenly towards the end of the government's tenure, it would invite a huge reaction from the people.

Tofail said, “On behalf of all concerned, I want to say that the government's move to increase holding tax should be reconsidered.

“We are the representatives of people … We will have to face the people in the upcoming general elections.”

Deputy Speaker Fazle Rabbi Miah, who was presiding over the session, suggested that the minister discuss the matter in the cabinet.

“I do believe Jononetri Sheikh Hasina's government will consider the issue from a humanitarian point of view and will take due decision in this regard,” he said.

In his speech, Ziauddin Ahmed, a lawmaker from Chittagong, said people were criticising the move in Chittagong.

Noting that power and gas tariffs have been increased, he said, “If the holding tax was increased ahead of the elections, how can we seek votes from the people? We [MPs] are accountable to them [people].”

After Ziauddin's speech, the deputy speaker said it would not be nicely accepted if the tax was increased manifolds at one go. The Sheikh Hasina-led government is people-friendly. The government would definitely consider it, he said.

Lawmaker Abu Hossain said the decision to increase the tax just a year before the elections would tarnish the government's image. He urged the government to keep the holding tax within tolerable level.