Popular Posts
-
Local business conglomerate Orion Group has appointed world renowned ABN AMRO Bank N.V., the Dutch banking giant headquartered in Amsterd... -
BSEC has approved the Initial Public Offering (IPO) of Bangladesh Building System Limited. The company will collect Tk.140.00 million by ... -
The securities regulator has said that it is not logical to allow the existing board of the Dhaka Stock Exchange (DSE) to continue until ... -
The Chittagong Stock Exchange (CSE) Saturday said scrapping the opportunity of money whitening provision in the stocks will not affect the... -
Meghna Life Insurance Company Limited has declared 30% cash dividend for the shareholders of the company for the year 2012. Means share... -
A group of investors staged protests in front of the Dhaka Stock Exchange yesterday as shares fell 1.67 percent. Investors under the ban... -
Sunlife Insurance Co Limited board meeting will be held on 27th June, 2013 at 4.00 pm to consider the financial report for the year ende... -
Ms. Rehana Rahman, one of the Sponsor Director of Southeast Bank Limited has express her intention to buy 2,40,000 shares of the company t... -
Private banks’ capital increased by 7.75 percent in the first half this year though their default loans marked a rise during the period... -
Md. Imamul Kabir Shanto, Chairman, Sunderban Courier Services (Pvt.) Ltd., Dr. Shahadat Khan, CEO, Progoti Systems Ltd and Dr. Muhamm...
Stock market cheers friendly budget
Saturday, June 8, 2013
Stakeholders in the capital market think the proposed 2013-14
budget will be sooth market mood.
They believe the incentives proposed in the budget will help to stabilize it. The government has proposed a cluster of incentives in a bid to reduce volatility and bring back investors.
Finance Minister Abul Maal Abdul Muhith placed the Awami League-led Grand Alliance government’s last budget in Parliament on Thursday with an outlay of Tk 2.22 trillion. He proposed tax rebate on investment for individuals and on investment in private mutual funds, and withdrawal of tax on share premium.
They believe the incentives proposed in the budget will help to stabilize it. The government has proposed a cluster of incentives in a bid to reduce volatility and bring back investors.
Finance Minister Abul Maal Abdul Muhith placed the Awami League-led Grand Alliance government’s last budget in Parliament on Thursday with an outlay of Tk 2.22 trillion. He proposed tax rebate on investment for individuals and on investment in private mutual funds, and withdrawal of tax on share premium.
In an instant reaction to the proposals, Dhaka Stock Exchange (DSE) President Md Rakibur Rahman said: “The government’s positive attitude towards the capital market has been reflected in the various incentives and facilities in the proposed budget.”
“We believe the budget proposals will help stabilise the market,” added the chief of the country’s prime bourse.
Chittagong Stock Exchange Al Maruf Khan also welcomed the proposals meant for the share market.“The proposed budget is positive. (It’s) especially positive for small and individual investors.”
Bangladesh Merchant Bankers Association (BMBA) President Mohammad A Hafiz also finds the budget positive for the market though not all of their demands have been accommodated.
He told bdnews24.com: “The budget has been positive for the capital market. But we had sought a lump sum allocation of Tk 50 billion in the budget. (We’re) urging (the government) again to consider it.”
In the budget speech, the finance minister said investment by
firms or individuals will be allowed 15 percent tax rebate on 30 percent of
income.
He also proposed an
increase in the tax rebate ceiling in case of individual investors to 30
percent from existing 20 percent. In the proposed budget, the ceiling for tax
rebate on investment for the individual taxpayers in certain cases has been
raised to Tk 15 million from Tk 10 million.
Existing 3 percent tax at source on the premium over face value of share of a company has been withdrawn.
The tax at source of sale of bonds has also been withdrawn and 15 percent tax rebate given on the investment in private mutual funds, while the threshold for tax-exempt dividend income has been raised to Tk 10,000 from Tk 5,000.
Existing 3 percent tax at source on the premium over face value of share of a company has been withdrawn.
The tax at source of sale of bonds has also been withdrawn and 15 percent tax rebate given on the investment in private mutual funds, while the threshold for tax-exempt dividend income has been raised to Tk 10,000 from Tk 5,000.
Comments[ 0 ]
Post a Comment