STAR BUSINESS REPORT

The Foreign Investors’ Chamber of Commerce and Industry (FICCI) yesterday termed reform measures in the proposed national budget “positive” but warned that implementation of certain tax measures may lead to unintended burdens on industries and individuals.

The FICCI, which represents around 210 member companies from 35 countries, expressed concern over an increase in the tax burden on compliant individuals and businesses.

The chamber said that under the revised tax slabs, salaried individuals earning between Tk 70,000 and Tk 100,000 per month may face a 50 percent–60 percent higher tax burden.

Meanwhile, those earning between Tk 120,000 and Tk 175,000 may experience an increase of 20 percent–30 percent, it said.

“This could significantly reduce disposable income for the fixed-income group, affecting consumption and quality of life,” said FICCI President Zaved Akhtar at a post-budget press meet at the chamber.

Finance Adviser Salehuddin Ahmed unveiled a Tk 7,90,000 crore national budget on June 2, which is one percent lower than the proposed budget of the outgoing fiscal year 2024–25.

The FICCI said the increase in minimum tax—from 0.6 percent to 1 percent for companies and from 0.25 percent to 1 percent for individuals—would adversely impact small and medium enterprises, loss-making companies, and inflation-stricken individuals.

“For instance, a company earning no taxable income will still be liable to pay a 1 percent tax on turnover, creating further strain on struggling entities,” it said.

Another point of concern is the imposition of a “discriminatory” 27.5 percent corporate tax rate on listed companies with less than Similarly,