Tax holiday for Information and Communication Technology (ICT) sector would continue in the upcoming national budget for the fiscal 2014-15, aimed at achieving the target of Digital Bangladesh by 2021.
Finance Minister AMA Muhith yesterday came up with the assurance while addressing an advisory meeting of “Digital World 2014” at his secretariat office in the city.
The minister, however, hinted that there would be no waiver on value added tax (VAT) in the upcoming budget and it would be applicable for all and everybody have to pay 15% VAT as he termed the amended VAT Act a good one, which would take effect in 2015.
In 2012 vision, the government had set a target that the ICT sector would be the second most important sector in the country after RMG in terms of export earnings and employment generation.
“We have reached a new height in the development of ICT sector and we have to work in line with the progress to maintain it,” said Muhith.
“Digital World 2014,” the largest IT expo of the country, will be held from June 4 to 7 at Bangabandhu International Conference Centre (BICC).
The event is being jointly organised by the Technology Division of the ICT ministry and Bangladesh Association of Software and Information Services (BASIS).
The exposition would have three components – software, e-governance and mobile innovation.
Addressing the meeting, the minister said ICT has made everything transparent to us and it would also help us to prevent corruption as a good tool.
Jamilur Reza Choudhury, vice-chancellor of University of Asia Pacific, suggested the government to strengthen marketing as well as lobbying with the CEOs of the world biggest IT companies to get more IT-related job.
“Because of the huge development in the ICT sector in Bangladesh, we are now observing brain gains instead of brain drain like situation,” said state minister for ICT Zunaid Ahmed Palak.
He hoped that Bangladesh would be the next IT destination in the world as there are lots of talents and potentials among the young generation.
Bangladesh Association of Software and Information Services urged the government to continue tax holiday for the ICT sector and demanded VAT waiver from this sector.
It also requested the government to fix VAT at 10% for the e-commerce and e-tendering and special VAT for the student for using internet facilities.
“At present, over five lakh freelancers are working in the ICT sector and so far earned $50m till now and we have taken initiatives to train up more young people to create more entrepreneurship,” said BASIS President Shamim Ahmed.
