The government is expected to offer tax incentives to the small stock market investors as it has finalised an increase in the tax exemption limit on dividend income from the existing Tk10,000 to Tk15,000.
The offer is intended to encourage small investors to invest more in the country’s capital market which is yet to bounce back after the 2010 debacle.
Finance Minister AMA Muhith will announce the proposed budget for the next financial year in the parliament tomorrow, which is expected to include the incentives for retail stock investors.
The budget may also provide Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) – the two bourses of the country - with tax holiday facility for next five years.
The facility is expected to be featured in the upcoming budget as the two stock markets have earlier requested for it, according to the official sources concerned.
“The government will offer five years tax holiday for both the demutualised entities to entertain their requests,” said an official involved with the budget process.
DSE and CSE were demutualised on November 21, 2013.
