Photo : Collected
15% income tax imposed on private universities, medical colleges, dental colleges and engineering or the institutions dedicated to teaching information technology by National Board of Revenue (NBR) has been reduced to 10 %. A notice signed by Gazi Touhidul Islam, public relations officer of the ministry of Finance issued this order on Sunday.
‘Private University Student Network’- a platform for private university students demanded to withdraw the order of imposing 15% tax on private universities at Shahbagh, Dhaka on 18 June.
Before this event, the NBR issued a notice on 28 June 2007 in which it was said that the private universities approved by the UGC and other universities which are not public ones would have to pay 15% income tax to the government.
On 01 July 2010 NBR issued another notice mentioning that the private universities, medical colleges, dental colleges, engineering colleges or non-government colleges would have to pay 15% income tax to the government. Then 46 writs were submitted on behalf of private universities against this decision.
On 9 February 2021 High Court declared 15% income tax of private universities illegal and the Appellate Division gave approval to appeal against the verdict of the High Court. At the same time NBR was directed not to collect income tax from the private university and colleges until the appeal is resolved.
The order/verdict of the Appellate Division not to collect income tax from private universities by 15% was kept in force/effective till the appeal becomes settled in June 2023. At the same time the final hearing of the high court regarding 46 writs was also kept in force. On Tuesday after settling this appeal the high court orders all the private universities to pay 15 % tax of its income.