Budget FY 23: Government fixes turnover tax rate at 0.1% instead of 0.6% for startups

The government also exempted startups from bindings of all other types of reporting except the submission of income tax returns

The government has fixed the rate of turnover tax at 0.1% instead of 0.6% for startups as well as removed the expense ceiling so that they can promote and market their products to customers while spending on research and development.

It also exempted startups from bindings of all other types of reporting except the submission of income tax returns.

Finance Minister AHM Mustafa Kamal said this while proposing the budget for the 2022-2023 fiscal year in the parliament on June 9.

The Finance Minister placed the Tk6,78,064 crore national budget for FY23 prioritizing the safeguarding of marginal people from inflation mainly fuelled by the Russia-Ukraine conflict.

This is the 51st budget of the country and the fourth budget of the third consecutive term of the government led by Prime Minister Sheikh Hasina.

The proposed budget is Tk74,383 crore higher than the previous one which was Tk6,03,681 crore.