NBR to revoke tax rebate on donations for Sheikh Mujib's memorial
The National Board of Revenue (NBR) is going to cancel the benefit of tax rebate on donations to national-level institutions dedicated to preserving the memory of the father of the nation.
Two NBR officials, speaking on condition of anonymity, confirmed the development, stating that work is underway to issue an official order in line with instructions from higher authorities.
Under the Income Tax Act 2023, taxpayers were eligible for an income tax rebate on donations made to 20 specified sectors, including contributions to national institutions established in honour of Sheikh Mujibur Rahman.
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According to NBR sources, this benefit was given before 2020 during the tenure of then NBR chairman Mosharraf Hossain Bhuiyan.
"Such benefits are given by the Awami League government for political purposes," a senior NBR official told TBS on condition of anonymity.
At that time, the NBR chairman proposed limiting the facility to a five-year period. However, a group of over enthusiastic officials of the revenue board strongly opposed this time limit. As a result, the proposed time restriction was eventually dropped, and no time limit was set.
Muhammad Abdul Mazid, former NBR chairman, told TBS, "Tax rebate benefits have often been misused, with donations made in the name of such charities or trusts, undermining their intended purpose."
