The interim government has retained the opportunity to invest undisclosed money in real estate sector, particularly through the purchase or construction of apartments and buildings albeit with a sharp increase in associated tax rates.
Finance adviser Salehuddin Ahmed announced the opportunity while unveiling the national budget for the fiscal year 2025鈥�26 on Monday, increasing tax rates.
Transparency International Bangladesh, however, in a statement condemned the decision terming the decision unethical, discriminatory, and in violation of the Constitution.
Two conditions have also been given for legalising undisclosed money. If it arises from any criminal activity under any other law currently in force and does not arise from any legitimate source, then undisclosed money cannot be legalised.
TIB stated that it reflects a stance completely contrary to the objectives of state reform, particularly the core purpose of the Anti-Corruption Commission reform.
TIB executive director Iftekharuzzaman said, 鈥榃hatever way it may be interpreted, to undermine the core mandate of state reform in general and anti-corruption in particular, this shows how the interim government has surrendered to the real estate lobby power to facilitate corruption.
He said, 鈥業rrespective of the payable rates, this clearly violates article 20(2) of the constitution under which state specifically commits to prevent possession of unearned income.鈥�
According to the proposed budget for the fiscal year 2025鈥�26, depending on the area and the size (plinth area) of the property, investors can pay a fixed amount per square foot to the National Board of Revenue and will not need to disclose the source of the funds.
Tk聽2,000 per square foot tax was proposed for buildings or apartments with a plinth area of over 2,000 square feet and Tk 1,800 per square foot for buildings or apartments with a plinth area of not more than 2,000 sq ft, in Gulshan, Banani, Dhanmondi and other posh areas of the capital.
Tax of Tk聽1,500 per square foot was proposed for buildings or apartments with a plinth area of 鈥嬧�媙ot over 2,000 square feet in Mohakhali, Lalmatia, Uttara, Bashundhara, and other areas of Chittagong.
The tax of Tk 700 was proposed for per square foot in city corporation areas while Tk 600, Tk 300 per square foot in municipal areas of district headquarters for a plinth area of 鈥嬧�媜ver 1,500 square feet.
In the municipal area of 鈥嬧�媡he district headquarters, Tk 250 per square foot, Tk 150 per square foot, Tk 100 per square foot in other areas of the country were proposed for buildings or apartments over 1500 square feet.
Apart from this, it has been proposed to set a tax of Tk 50 to Tk 900 per square foot depending on the area for the construction of buildings to get the same benefit.
