BGMEA backs amnesty to bring back laundered money
The trade body also urged the government to revisit the proposed increase in source tax for exporters
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has supported the much-talked-about proposed government move to offer money launderers an opportunity to legalise their unreported offshore assets.
"We support the amnesty considering the ground reality that we need a sufficient reserve of foreign currencies to meet the ongoing crisis," BGMEA President Faruque Hassan said at a press conference in the capital on Monday.
Economists and most business bodies including the FBCCI, however, criticised the government for the measures proposed in the budget for FY23, saying the provision is unethical and will further encourage money launderers.
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"If anyone wants to bring back their laundered money in response to the government move, we will definitely support that. What tax rate the government is going to fix for that doesn't matter," the BGMEA president said.
The proposed budget made the scope for legalising unreported assets outside the country without facing any question in the next fiscal year, subject to paying taxes ranging from only 7% to 15%.
At the event, Faruque Hassan also urged the government to revisit the proposed 1% source tax on exports and keep it unchanged – 0.5% for at least the next five years.
The increase in the source tax will make exports difficult amid the global economic crises, said the BGMEA president.
